Refinancing Rates Today
| Term | Type | Rate | Points&Fees |
|---|---|---|---|
| 30 Yr Fixed mtg | FRM | ||
| 15 Yr Fixed mtg | FRM | ||
| 5/1 ARM | ARM | ||
| Source: Freddie Mac's PMM Survey | |||
Is Refinancing Your Home Loan the Right Move?
Refinancing has been a popular topic in the past several years, since low interest rates have enticed homeowners to refinance their home mortgage loans in record numbers. Refinancing your home mortgage makes sense for other reasons, as well: using your home equity as a source of cash for a project or switching to a different type of mortgage loan, for example. Savvy homeowners know the reasons why refinancing makes financial sense, and you can easily learn these reasons, as well.
One of the primary reasons that refinancing your home mortgage can be a good choice is to save money. Especially when interest rates are at the low levels of recent years, a switch to a new mortgage with lower interest rates can save thousands of dollars over the life of the mortgage loan. Even if you have refinanced your mortgage in the last few years, interest rates that have dropped further mean that you might be able to save even more by refinancing your home loan again.
Another good reason to consider refinancing your home mortgage is to obtain a more stable mortgage loan for the long term. If, like many homeowners, your original mortgage is an ARM (adjustable rate mortgage), you might be a bit nervous about how much your monthly payment will rise when interest rates start to climb again. Refinancing to a fixed rate mortgage can provide you with the peace of mind that comes with knowing that your monthly mortgage payment will be stable, no matter what is happening with market interest rates.
Many homeowners tap into their accumulated home equity to finance projects and events such as home improvement or college tuition. In most cases, the money you receive from refinancing your home mortgage loan is at a very low cost to you, since the interest rate is much lower than personal loans or credit cards, and you may qualify for tax advantages, too. Known as a cash out refinancing transaction, this type of refinance replaces your existing mortgage loan with a new mortgage that is a little bit larger, and the extra money is paid to you at the loan closing for you to use for a special project or event.
Whatever the reason for refinancing your home, you can quickly receive free mortgage quotes for comparison by simply filling out this form.
Recent Refinancing Articles
Are you aware of the refinancing options that are available to you with the making home affordable program? Many Homeowners already took advantage of the presidents' Obama initiative. See if you can make a good use of it as well.
There are several factors to examine before you get round mortgage refinancing. Taking care to estimate your situation correctly in advance will save you trouble and help you avoid financial hardship.
How can one reduce the cost of the mortgage refinancing he is planning? Well there are several factors affecting the closing costs and while some of them are quite rigid others can be manipulated. Learn which button to push.