Over the last year, there hasn’t been many times where the professionals, in the banking or mortgage business, are telling you that this is a good time to refinance!
Right now, according to many in this arena, one should check with their bank or mortgage company on how much lower they can secure rates.
Last week, we had a massive dip in mortgage rates, which apparently pushed homeowners into action. According to new data from the Mortgage Bankers Association, refinancing was up 39% last week, hitting its highest point since January 2016.
According to Freddie Mac, the average rate on a 30-year fixed-rate loan as of March 28 was 4.06%. On 15-year fixed loans, it was 3.57%.
For some, that rate is as much as .50% lower and could result in savings every month!
The best way to realize those savings is to NOT take any money out of your equity and don’t skip a month’s payment. Many don’t realize, the mortgage companies are not so benevolent that they give you a month free. They tack that missed payment to the last payment of your mortgage.
Owning a home is a huge obligation and one of the biggest expenses of our lifetime. Knowing how to legally work the system, to make it as affordable as possible, should always be one’s goal here.
One last tip…WITH EVERY PAYCHECK, MAKE SURE YOU PAY YOURSELF FIRST!