Refinance ToolBox

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2011-12-11T11:02:00.000-05:00

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Home Prices Continue Downward Trend in 2011

2011-05-31T14:39:00.002-04:00

As much as we all hoped for a strong beginning to 2011 for the US housing market, home prices hit another new low in the first quarter. This is down 5.1% from a year ago to levels not reached since 2002! What makes matters even worse is that there seems to be no relief in sight, as the average home price is down 32.7 percent from the peak price set five years ago.

The culprit is of course, the huge number of foreclosures that continue to hit the market, sell at bargain prices, and bring everyone’s home values down.

Reduced home values are also hampering many refinancing opportunities for homeowners that could cash-in on today’s historic low refinance mortgage rates.

Yes, mortgage-underwriting standards are much tougher than we have experienced in many years, yet the overall toughest hurdle for borrowers continues to be home value.

There remain two refinancing programs that can provide great opportunity for high loan-to-value (LTV) borrowers. One is the FHA mortgage program and the other is the Fannie Mae DU Refi Plus program. Both of these programs allow individuals to refinance at great refinance rates with an LTV up to 97.75 percent for an FHA loan, and 105 percent for the Fannie Mae program.

If you are considering a home mortgage refinance now and need some help, have questions, or need some competitive refinance rate quotes, please check out the popular Refinance Tool Box. Just give a call at 888-850-9888 or fill out a Rate Quote Request online for professional assistance without the aggressive high-pressure sales tactics.

May the Mortgage Refinance Rates be with You!

Refinance Tool Box

Pull-Back on Treasury Yield Bringing Down Refinance Mortgage Rates Again

2011-04-29T16:03:00.002-04:00

I must say that every time I feel that the 10-Yr Treasury Yield along with refinance mortgage rates are set to rise, the exact opposite occurs. That is why I always tell my clients not to try to read where refinance rates will go, just react to the current market. If you are sitting on a rate lock opportunity that meets your financial and short/long term refinancing goals, then it’s time to move forward with the application.

The Fed recently announced that the end of the 600 Billion dollar treasury buyback program will end this summer. On that news, coupled with a continued upswing in the stock market, one would suspect bonds to get crushed, yet there is still a flight to security in bonds, which is always good news for refinance mortgage rates.

So, in a nutshell, if you’ve been sitting on the fence waiting to refinance, rates are swinging down closer to the all-time historic lows reached last year.

Housing is still a muddied mess in my opinion. Although we have experienced better sales numbers, home prices continue to decline. Supply has shrunk a bit, but there are still an undisclosed major number of bank owned properties on the sidelines, yet to hit the market. Unfortunately, I don’t see a rising home value market for at least another year and quite possibly longer.

I continue to see those crazy refinance mortgage ads stating rates lower than 3.0 percent, with no fine print. I would suggest that you don’t be suckered in to those lenders/lead companies looking to get your business. You will quickly find out that the mortgage rates listed in the ads are for risky short-term adjustable rate mortgages and/or interest-only programs. The old “used-car salesman trick”, or “bait and switch”.

Depending upon your refinance loan scenario, you can most likely get in on a 30 Year Fixed Rate mortgage at under 5.0% with no points and around 4.0 % for a 15 Year Fixed Rate. Yes, there are some extremely nice benefit options still available for a lot of homeowners out there.

Risks to mortgage rates rising continue related to inflation and the economy. I’m sure you have noticed the $4 per gallon gas prices. This condition in addition to the Fed money-printing machine could spell significant inflation down the road. An improving economy and stock market could also put a big kibosh on current historic low refinance mortgage rates. I am all for an improved economy and hope it comes sooner rather than later, but inflation is the nasty after-effect I could do without.

All in all, still a great time for great mortgage rates for the time being.

If you are considering a home mortgage refinance now and need some help, have questions, or need some competitive refinance rate quotes, please check out the popular Refinance Tool Box. Just give a call at 888-850-9888 or fill out a Rate Quote Request online for professional assistance without the aggressive high-pressure sales tactics.

May the Mortgage Refinance Rates be with You!

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FHA Monthly Mortgage Insurance Changes in April 2011

2011-03-30T11:35:00.000-04:00

The HUD department certainly has been busy over the past couple of years with many underwriting guideline changes, as well as changes to the FHA Upfront Mortgage Insurance Premium (UFMIP) and monthly mortgage insurance (MI). The next change will occur on April 18, 2011, and applies to the monthly mortgage insurance percentage rates.

· Currently for FHA loans with a term over 15-Years with a loan-to-value ratio that is Under 95 percent, the monthly MI is .85 percent, which will change to 1.10 percent in April.

· For FHA loans with a term over 15-Years with a loan-to-value ratio that is Over 95 percent, the monthly MI is currently at .90 percent, which will change to 1.15 percent in April.

· For FHA loans with a 15 Year term or lower with a loan-to-value ratio that is Under 90 percent, there is no monthly MI requirement. That will change to a MI percentage of .25 percent in April.

· For FHA loans with a 15 Year term or lower with a loan-to-value ratio that is Over 90 percent, the current MI percentage is .25 percent. That will change to a MI percentage of .50 percent in April.

The current FHA UFMIP will not change from the current 1.0 percent.

How long will you have monthly MI with an FHA mortgage?

FHA monthly mortgage insurance will be required for a minimum of 5 years and will drop off your payment once your loan-to-value ratio falls to 78 percent through repayment of the loan.

FHA rates are still in a great range, so now might be a good time to get moving if you’re considering an FHA refinance. Get the rates while they are still near historic lows and miss-out on the monthly mortgage insurance increase, which goes into effect on April 18, 2011. Your loan doesn’t need to close by then, all you need is to have your FHA case number assigned by then.

If you are considering a home mortgage refinance now and need some help, have questions, or need some competitive refinance rate quotes, please check out the popular Refinance Tool Box. Just give a call at 888-850-9888 or fill out a Rate Quote Request online for professional assistance without the aggressive high-pressure sales tactics.

May the Mortgage Refinance Rates be with You!

Refinance Tool Box

Current Dip in Refinance Mortgage Rates

2011-02-27T16:07:00.000-05:00

Since the rock-bottom historic low refinance mortgage rates of November of last year, rates have been slowly edging their way up to mirror the movement of the 10-Yr Treasury yield. The yield actually increased over 1.0% in the time-span between November and the beginning part of February 2011.

Yet, even at the high point of refinance mortgage rates so far in 2011, historically speaking, they were still at awesome levels. We have, in the past week, experienced a nice dip back down in interest rates by an average of one-quarter point and the average 30-Year Fixed Rates are now hovering solidly under 5.0% once again.

The reason for the recent fall in refinance mortgage rates can be attributed to the recent global unrest in Egypt and Libya along with other global issues. The unrest is leading another investor flight to quality in US bonds and driving the yield down.

How long this dip in rates will last is anyone’s guess, but there could be another anti-bond factor working in the background…. Inflation. Oil prices have surged recently and fuel costs seem determined to match or beat their all-time highs. One would guess that the US corporations have sucked every last ounce of labor-savings out of the workforce by this point as well. These two factors, combined with the Fed’s money printing factory may lead to a bout of significant inflation. This is not good for the economy or for refinance mortgage rates.

There have also been some rumblings from the Fed that they may put an end to the $600 billion bond-buying program. Again, this would not be a good sign for refinance mortgage rates.

Refinance mortgage program offerings have not laxed yet, but the Fannie Mae DU Refi Plus program is still available. This program is essentially a streamline refinance that is a huge help for those that do not currently have private mortgage insurance on their mortgage and also have had a decline in home value, creating a loan-to-value refinancing scenario that is over 80%. For those eligible, you can refinance into the great current refinance rates and will not have PMI attached to your loan. Also, in many instances, one will not need to have a home appraisal done.

FHA refinance loans can also be a good option in today’s market, although one might want to act fast. The FHA required monthly mortgage insurance (PMI) is set to increase in April of this year.

If you are considering a home mortgage refinance now and need some help, have questions, or need some competitive refinance rate quotes, please check out the popular Refinance Tool Box. Just give a call at 888-850-9888 or fill out a Rate Quote Request online for professional assistance without the aggressive high-pressure sales tactics.

May the Mortgage Refinance Rates be with You!

$600B Bond Purchase Program Still On the Table – Good for Mortgages

2011-01-28T12:01:00.000-05:00

The Fed’s $600B bond purchase program has come under tremendous political heat over the past month. There was talk of ending the program altogether, which would have been a big punch in the gut for refinance mortgage rates. As the Fed buys back large chunks of US Treasuries, the bond price increases and the yield declines. Since the yield is a major force behind mortgage rate pricing, this is a big deal for the home finance market.

Wednesday’s assessment of the Fed policymakers was that the economy isn't growing fast enough to lower unemployment and still needs help from the Federal Reserve's $600 billion Treasury bond-purchase program. The Fed noted that the economy still faces risks. The biggest: that high unemployment will damp consumer spending, which accounts for 70 percent of national economic activity.

Fed policymakers said Wednesday they'll continue to monitor the bond-buying program. They have left open the option of buying more bonds if the economy weakens, or less if it strengthens. An ending of the program had the potential to send mortgage rates up significantly, further damaging an already fragile housing market.

In the end, mortgage refinance rates are still near historic lows, yet there appears to be the risk of an increase to rates as the stock market breaches the 12,000 mark on the Dow.

On the housing front, new-home sales in 2010 fell to lowest point in 47 years. Sales for all of 2010 totaled 321,000, a drop of 14.4 percent from the 375,000 homes sold in 2009, the Commerce Department said Wednesday. It was the fifth consecutive year that sales have declined after hitting record highs for the five previous years when the housing market was booming.

Builders of new homes are struggling to compete in markets saturated foreclosures. High unemployment and uncertainty over home prices have kept many potential buyers from making purchases. High foreclosure rates and lackluster buying continue to bring housing prices south.

For refinancing homeowners that have suffered significant home depreciation and fall into the high loan-to-value scenario camp, there are still great deals available with FHA loans and possibly by utilizing the Fannie Mae DU Refi Plus program.

If you are considering a home mortgage refinance now and need some help, have questions, or need some competitive refinance rate quotes, please check out the popular Refinance Tool Box. Just give a call at 888-850-9888 or fill out a Rate Quote Request online for professional assistance without the aggressive high-pressure sales tactics.

May the Mortgage Refinance Rates be with You!

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High LTV Refinancing Options as Home Prices Continue to Weaken

2010-12-28T14:29:00.000-05:00

As we near the end of another year, two vital home refinancing factors have stayed rather constant throughout the year. The first being that refinance mortgage rates have held near the all-time record setting lows. The second factor being that home prices continue to fall. As they say, you have to take the good with the bad!

For those that have been hit hard with regional home valuation dips that will cause a high loan-to-value (LTV) ratio scenario for your refinance, there are a couple of alternatives that will allow you to cash-in on the great refinance rates without paying the penalty in private mortgage insurance (PMI) and higher adjusted rates.

The first of those options would be to utilize a conventional streamline refinance program. You can refinance a loan amount up to 105 percent of the appraised value of your home and you still get access to the best rates with no PMI. To be eligible for this option, you only need to be currently in a Fannie Mae home loan.

The second option would be to refinance with an FHA loan. With FHA loans, the borrower can refinance a total loan amount up to 97 percent of the home appraisal amount with no big hit to the qualified rate. In fact, FHA rates have been outperforming conventional rates of late, especially in the 80-plus LTV scenario range. Yes, you will have PMI with an FHA loan, but the PMI rate is up to 50% less than what you would get with a conventional mortgage, and it will be eliminated in as little as 60 months, once your LTV drops to 78 percent. Also, for those looking to refinance into a 15-yr FHA loan, you will not be charged any PMI at all if your final LTV is at 90 percent or lower. Yes, Virginia, there is a Santa Claus!

To the most recent housing numbers, U.S. single-family home prices fell for a fourth straight month in October pressured by a supply glut, home foreclosures and high unemployment. It still could be some time until the supply and demand curve changes to a more promising direction.

All in all, it’s been a great year to refinance for thousands of homeowners, thanks to historic low rates. Yes, qualifying those loans has been more difficult, but the reward has been definitely worth it.

The year ahead in refinancing will be dependant once again on the housing market and employment. A potential curveball could be a rise in mortgage rates, as the 10-year treasury yield begins to bounce of its 2010 lows.

If you are considering a home mortgage refinance now and need some help, have questions, or need some competitive refinance rate quotes, please check out the popular Refinance Tool Box. Just give a call at 888-850-9888 or fill out a Rate Quote Request online for professional assistance without the aggressive high-pressure sales tactics.

May the Mortgage Refinance Rates be with You!

Refinance Tool Box

Your Best Home Refinance Options in the Face of Declining Home Values

2010-11-30T12:22:00.000-05:00

Yes, refinance mortgage rates are currently sitting near the lows of all-time, but that doesn’t necessarily mean that you will benefit with a new home mortgage refinance. Working hand in hand with credit ratings, a borrower’s home value can mean the difference between a great benefit refinance and a ho-hum deal.

The key loan-to-value (LTV), number for rate and refinance program qualification is 80 percent. That means if your home appraises for $100,000, the ideal loan amount would be $80,000 or lower to get in on the low interest rates with no monthly private mortgage insurance (PMI).

What may have been an 80% LTV scenario for a refinancing homeowner just a few years ago, could well be an 85%, 90%, 95%, or even higher scenario today, due to the dramatic drops in home value since 2007.

So you want to take advantage of current super-low refinance rates, but will fall into the 80 percent-plus LTV range, so what do you do?

If you do not currently have PMI on your mortgage, the first recommendation would be to contact a lender to see if you qualify for the Fannie Mae or Freddie Mac streamline refinance programs. If you are qualified, you will have access to the best-offered refinance rates at the “under-80%” pricing with no PMI (if you currently do not have PMI). As an added bonus, your LTV can go all the way up to 105 percent and you will still get the under-80% pricing with no PMI. In fact, appraisal requirements are even sometimes waived or reduced. It’s a great program for those in the over-80 LTV range with good to excellent credit scores.

You can contact the Refinance Toolbox at (888) 850-9888 to see if you qualify.

If you do not qualify for the streamline refinance, the probable next best refinance option is the FHA refinance program. FHA refinance rates are comparable and sometimes even better than conventional loan pricing for 80-plus LTV scenarios. There is monthly PMI with 30-Yr FHA loans, but it will drop after 60 months and when the borrower’s LTV reaches the 78 percent level.

October’s home sales numbers were released last week and show a 2.2 percent dip, weaker than expected. The weak housing market, unemployment, and tight credit are all contributing factors to the poor numbers. Many buyers worry home prices could fall further. Some can't sell their current home to upgrade to a larger home, either because they have lost equity or they can't find prospective buyers.

In stating the obvious, the housing market is still a muddied mess, and does not appear that it will strengthen any time soon. For those that plan to be in their home for at least five years, while carrying a relative high current mortgage rate, now could be one of the best times in history to refinance into a very beneficial new mortgage. The key is to refinance into the best refinancing option for which you are qualified.

If you are considering a home mortgage refinance now and need some help, have questions, or need some competitive refinance rate quotes, please check out the popular Refinance Tool Box. Just give a call at 888-850-9888 or fill out a Rate Quote Request online for professional assistance without the aggressive high-pressure sales tactics.

May the Mortgage Refinance Rates be with You!

Refinance Tool Box

The Second Reason to Refinance in Today’s Market

2010-10-30T11:04:00.000-04:00

If you have been considering a home refinance recently, the decision was most likely based on the current historic low refinance mortgage rates, yet there may be another big reason to refinance now. Home values.

Home values have plummeted over the past several years, causing many homeowners to miss out on the current low mortgage refinance rates bonanza. For many individual homeowners refinancing loan scenarios, the drop in home value has placed their current mortgage underwater, or in other cases, caused the loan-to-value (LTV) ratio to rise into non-beneficial refinancing territory.

For instance, consider a home purchased in 2006 for $100,000 with 20 percent down (80 percent LTV) at 6.50%. The initial $80,000 mortgage balance is now at $77,000, but the home is now valued at $70,000. The mortgage is underwater and any beneficial refinancing options are gone, unless the borrower comes to the closing table with an ample amount of cash.

Now consider the same scenario, except that the home value dropped to only $85,000. The qualifying LTV is now 90 percent, so monthly PMI will be added to the monthly loan payment and most likely squeeze all the benefit out of refinancing into a nice low 4.50% fixed rate.

Prices of single-family homes fell for a second straight month in August, hovering around recent lows after the expiration of popular homebuyer tax credits, according a Standard & Poor's/Case-Shiller home price report on Tuesday.

Home prices are falling further, suggesting a bottom hasn't been reached, as Millions of foreclosures are expected to pour onto the market in the coming years. That's likely to force prices down and hurt even cities that had begun to rebound. Banks' foreclosure paperwork could further deter buyers and weigh down prices.

In a nutshell, the housing market is still awful, and those currently sitting on under-80 percent LTV mortgage refinance loan scenarios could be bumped into PMI-Land territory in short order, if they wait too long to refinance.

Homeowners that find themselves in an over-80 percent LTV refinancing scenario and still want to take advantage of today’s low refinance mortgage rates can give us a call at (888) 850-9888. We can check to see if you are eligible for a streamline refinancing program that will allow homeowners to refinance at the best available refinance rates with a loan amount up to 105 percent of the home’s value with no PMI, if the current mortgage does not have PMI.

Many felt that the drop in home values across the US over the past 3 years was finally beginning to stabilize, but recent sales data, along with the foreclosure overhang suggests that we may be in for more home price drops in the coming months to years. All the more reason to take advantage of the current low historic mortgage refinance rates while the getting is good

If you are considering a home mortgage refinance now and need some help, have questions, or need some competitive refinance rate quotes, please check out the popular Refinance Tool Box. Just give a call at 888-850-9888 or fill out a Rate Quote Request online for professional assistance without the aggressive high-pressure sales tactics.

May the Mortgage Refinance Rates be with You!

Refinance Tool Box

Home Affordable Refinance Program (HARP) can Help Homeowners with Falling Home Values

2010-09-22T11:50:00.001-04:00

The severe drop in home values in the US over the past several years has caused quite a dilemma for many people wishing to refinance into the current historic low refinance rates. The homeowner may have perhaps taken out a 30 Year Fixed Rate, 80 percent LTV conventional mortgage in 2006 at 6.0%, with no PMI. Now, the borrower would like to refinance into a 4.5% 30 Year Fixed Rate or a 4.25% 15 Year Fixed Rate with no points. Yes, an outstanding benefit scenario, if it weren’t for the drop in home value.

For example, the homeowner’s current mortgage has a balance of $230,000 and the home appraised for $300,000 in 2006. The home value has dropped to $245,000 currently, which would result in a refinance LTV scenario of 94 percent ($230,000 divided by $245,000). You can still get the 4.5% rate, but you now have PMI added to your loan, which results in a no-benefit scenario.

Now, assume the home value dropped to $230,000 or lower. That would result in no conventional refinance option.

These types of refinancing scenarios have affected thousands of homeowners trying to refinance into today’s low refinance mortgage rates. Home prices have fallen hard in many national regions since 2007, pinning homeowners against the proverbial refinancing wall.

Well, here is where the Home Affordable Refinance Program (HARP) comes into the picture. For those qualified, it can turn a no-benefit or non-qualifying regular refinance scenario into a blockbuster savings bonanza for the borrower.

The Harp program will allow for refinancing up to a 125% LTV and also exclude PMI if the homeowner does not currently have PMI with their mortgage. You still get the great current rates, and Eligible loans receive increased underwriting flexibilities, including expanded eligibility criteria and minimum documentation requirements.

So, in the preceding example, the homeowner would be able to refinance into that 4.5% 30-Year Fixed Rate with no points, no PMI, and reduced eligibility criteria.

Just think about it, you can be technically underwater on your mortgage by up to 25% of your principle balance and still be eligible for the best refinancing deals on the market!

It sounds too good to be true, so what’s the catch?

There are no catches, except that the program is available for refinances of existing Fannie Mae loans only.

If you think you might benefit by utilizing the HARP program, just give us a call at (888) 850-9888 and we’ll check to see if you are eligible.

On the refinance mortgage rates front, rates continue to huddle at historic low levels. In fact, the hint that the Fed will begin another round of quantitative easing sooner rather than later caused the bond market to rally yesterday afternoon, dropping the 10-year Treasury yield. As a result, refinance mortgage rates are in an awesome position for homeowners at present.

If you are considering a home mortgage refinance now and need some help, have questions, or need some competitive refinance rate quotes, please check out the popular Refinance Tool Box. Just give a call at 888-850-9888 or fill out a Rate Quote Request online for professional assistance without the aggressive high-pressure sales tactics.

May the Mortgage Refinance Rates be with You!

Refinance Tool Box

Refinance Mortgage Rates Hit All-Time Lows

2010-08-27T11:01:00.000-04:00

Refinance rates have fallen to historic lows once again, as the 10-year treasury yield continues its plunge downward. Amazing refinance deals are to be had if you have the credit score and enough equity in your home.

30-year fixed rate mortgages are now at an average of about 4.5 percent for those with excellent credit and refinancing under 80 percent on a conventional loan and under 97 percent on an FHA rate and term refinance. 15-year fixed rate mortgages are hovering near the 4.0 percent level with no points if you have excellent credit. It almost seems hard to believe where refinance rates have fallen.

But, as we all know by now, with the good news comes the other side of the story. Refinance mortgage rates are so low, in most part, because the overall economy is in such tough shape. Two key components, housing and employment, are not looking good, and the future direction of the two are a muddied picture.

Mortgage applications rose 4.9 percent last week as more borrowers refinanced at the lowest rates in decades. Refinancing is at its highest level since May 2009 and makes up 82.4 percent of all new loan activity, its highest share since January 2009. Yet, low mortgage rates have done little to boost home sales, which have been hurt by high unemployment, slow job growth and strict credit standards. Purchase activity is 41.5 percent below its level at the end of April, when two federal tax credits for homebuyers expired.

On the housing front, the National Association of Realtors said sales of previously occupied homes plunged in July to an annual rate of 3.83 million, much worse than the 4.7 million estimate from economists polled by Thomson Reuters. Many feel that without a boost in job creation, (buyers) just won't have the confidence to step in and buy a new home.

New U.S. single-family home sales unexpectedly fell in July to set their slowest pace on record while prices were the lowest in more than 6-1/2 years. Sales dropped 12.4 percent to a 276,000 unit annual rate, the lowest since the series started in 1963, from a downwardly revised 315,000 units in June.

Yes, current refinance rates are just awesome, but if you can’t refinance into the new mortgage, it does you no good. Mortgage underwriting guidelines continue to stiffen as rates drop.

If you have a good to great credit score, solid 2 year employment history, and a decent idea of the market value of your home, it might be a good idea to check on some home refinance options as we may never experience rates this low again.

Just keep your “timeframe” in mind before jumping into a new mortgage. If you think you may be selling your home in the next couple of years for various reasons, do a breakeven analysis to make sure refinancing is a benefit to you. If for instance, for your refinance scenario, closing costs are $3,000 to save $200/month, and your anticipated loan timeframe is 36 months, then your breakeven point is 15 months ($3,000 divided by $200). After 36 months, your net gain will be $4,200 (36 months timeframe minus 15 months breakeven point = 21 months times $200 savings = $4,200 net benefit).

The bottom-line numbers should tell you the story and help to strengthen your decision to refinance or not.

If you are considering a home mortgage refinance now and need some help, have questions, or need some competitive refinance rate quotes, please check out the popular Refinance Tool Box. Just give a call at 888-850-9888 or fill out a Rate Quote Request online for professional assistance without the aggressive high-pressure sales tactics.

May the Mortgage Refinance Rates be with You!

Refinance Tool Box

Refinance Mortgage Rates Continue Pace at Historic Lows

2010-07-14T13:24:00.000-04:00

If you asked me just a few months ago, where I thought refinance mortgage rates were heading, I probably would have leaned toward rates going up. Why? Well the federal government bailout multi-billion dollar programs used to buy-up US Treasuries and mortgage-backed securities that were glutting the market, came to an end. We were already at historic lows in the spring, so simple logic would tell one that refinance rates were likely to go up.

Fortunately for homeowners that are still considering a refinance, simple logic does not apply to the path of mortgage rates, and rates have dropped even further to lower historic lows. That is why I always recommend to never listen to the so-called “experts” that exclaim mortgage rate direction on CNBC and the like. Truth be told, they or even myself will be wrong more times than not when predicting where mortgage rates will go.

A refinancing homeowner simply should decide whether or not to apply for a mortgage based on their qualified rate and program options at the time they are shopping, considering the financial or other benefits they will receive at that given point and time.

Let’s face it, although refinance mortgage rates are lower than they were in the spring, if you refinanced in April, you are most likely sitting on an incredible interest rate, and should in no way be kicking themselves for refinancing at that time.

Keep in mind that refinance rates could have just as easily climbed significantly over the past few months. A better economic picture in Europe, a stock market climb, or any hints of inflation would have put an end to the drop in refinance mortgage rates.

On a macro economic level, things are still up in the air. The jobs picture is still in very tough shape in the US, while foreign economies continue to reel with sluggish growth. The US housing market appears to be slumping once again and there is a real worry that all of this uncertainty could cause Americans to cut back on spending. There has been talk of a double-dip recession, but I still think that it’s too early to tell.

Well, enough of the economic doom and gloom, because refinance mortgage rates are as low as they have ever been! Homeowners that are looking to refinance can get some incredible low rate and low closing cost deals right now. You will most likely need to have a middle credit score of at least 620 and enough equity in your home to make a loan work, so make sure to get a good grasp as to the value of your home when shopping refinance rates.

Credit scores and home values have been the biggest cog in preventing homeowners from refinancing into the current great rates, so it’s always good to know going into the process, where you stand.

If you are considering a home mortgage refinance now and need some help, have questions, or need some competitive refinance rate quotes, please check out the popular Refinance Tool Box. Just give a call at 888-850-9888 or fill out a Rate Quote Request online for professional assistance without the aggressive high-pressure sales tactics.

May the Mortgage Refinance Rates be with You!

Refinance Tool Box

America’s Negative Equity Housing Markets

2010-06-09T10:36:00.000-04:00

The good news is that refinance mortgage rates are currently at the lowest point in history, providing opportunity for homeowners to refinance into some outstanding financially beneficial home loans. The bad news is that there are many areas in the country that have experienced huge drops in home value and may exclude people from the best deals or from refinancing altogether.

Frequent readers of the Refinance Tool Box blog, are aware that home value is a crucial factor in taking advantage of a home refinance with today’s current low refinance rates, so I wanted to outline some of the areas hit hardest by the home value plunge.

Las Vegas may have been the most affected housing market in the US. More than 81 percent of single-family home mortgages in Las Vegas had negative equity in the fourth quarter of 2009, according to Zillow. Home prices in Las Vegas fell more than 56 percent from 2006 to the third quarter of 2009.

Many parts of California have been hard hit with home price declines, including Mercred, which saw home prices jump nearly 129 percent from 2002 to 2006, only to crashe more than 72 percent through the third quarter of 2009.

Arizona has been another state hit hard by home price declines. The housing market in Phoenix as an example saw home prices drop more than 52 percent from their peaks through the third quarter of 2009. As of the fourth quarter of last year, nearly 62 percent of single-family home mortgages were underwater, according to Zillow.

Florida is another big loser in the home value market over the past couple of years. For example, Orlando experienced a nearly 48 percent drop from the peak through the third quarter of 2009 and this has pulled 58 percent of single-family home mortgages in Orlando underwater, according to Zillow.

These figures are astounding and should point out the merit of checking on the current market value of your own home, before jumping in to the refinance application phase of refinancing. Many refinancing homeowners apply for loans stating home values of 2006 and prior, which could be way off the mark, especially if the home is in one of the hard hit areas of the US.

It can be all too easy for some mortgage loan officers to take an application with a “suspect” inflated home value estimation and wait for the appraisal to come in, just to see if it sticks. Depending upon how low the appraisal comes in, the refinancing homeowner could end up with a deal much less beneficial than thought originally, or maybe no benefit at all.

Refinancing homeowners can check numerous free resources online that offer home estimation tools based on home comps in the area. You can even go one step further and check recent home sales in your area at the local county. This bit of extra work can help a mortgage applicant to avoid a drastic home value surprise when the appraisal comes in.

If you are considering a home mortgage refinance now and need some help, have questions, or need some competitive refinance rate quotes, please check out the popular Refinance Tool Box. Just give a call at 888-850-9888 or fill out a Rate Quote Request online for professional assistance without the aggressive high-pressure sales tactics.

May the Mortgage Refinance Rates be with You!

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Global Economy Driving Mortgage Rates Down

2010-06-02T10:48:00.000-04:00

You know what they say, what you think is going to happen and what actually happens can be entirely two different things. Such is the case with the recent movement in refinance mortgage rates. Most experts expected mortgage rates to go up in April with the expiration of two major government programs aimed at keeping interest rates low.

Well, you guessed it. Exactly the opposite happened and mortgage rates in May and now June have dipped to the lowest point in history.

You can thank the current historic low mortgage refinance rates on the European economic crisis, and more directly to the potential insolvency in Greece. With the perceived global economic risk, investors have flooded back in to US Treasuries. As we know, when treasuries are bought up, the yield decreases. Since mortgage rates are heavily tied to the yield on the 10-year treasury yield, rates have continued their plunge.

On the home value front, the government home purchase tax credit is now gone and many economists caution that Americans are facing so many financial obstacles that falling rates alone won't be enough to lift the housing market.

Home prices fell 0.5 percent in March from February, according to the Standard & Poor's/Case-Shiller 20-city index released May 25. This marks six straight months of declines -- a sign that the housing market is going in reverse.

Mortgage delinquencies reached a record high in the first quarter. More than 10 percent of homeowners with a mortgage missed at least one payment from January through March, the Mortgage Bankers Association said last week.

You would think that the current low mortgage rates and falling home prices would be bringing buyers out of the woodwork, but the all-important jobs picture may be the culprit for the less than stellar home buying outlook for the remainder of 2010.

Friday's May employment report will be an important number this week for both the economic picture and for mortgage rates direction in the short-term.

15 year fixed rate mortgages are at astounding low levels. If you are in a 30 year mortgage with a good rate, you still might want to take a look into a 15 yr mortgage at 4.5 percent or lower with virtually no closing costs if you have good to great credit and a loan-to-value ratio that is 80 percent or lower. A switch into a 15-year can save a homeowner up to hundreds of thousands of dollars in saved interest over the term of their new home loan.

If you are considering a home mortgage refinance now and need some help, have questions, or need some competitive refinance rate quotes, please check out the popular Refinance Tool Box. Just give a call at 888-850-9888 or fill out a Rate Quote Request online for professional assistance without the aggressive high-pressure sales tactics.

May the Mortgage Refinance Rates be with You!

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Treasury Yield Continues Streak with Nice Refinance Mortgage Rates Opportunities

2010-05-12T13:39:00.000-04:00

For the past several months it seems like you can’t kill the stock market nor the low refinance mortgage rates being served up to the public. The Yield on the 10-Year Treasury has flirted with the key 4.0 percent level many times and just cannot breach it, luckily for those that are in the market for a mortgage loan.

The 10-Year yield closed yesterday at 3.535 percent, and refinance mortgage rates are still near all-time lows.

Rates on 30-year fixed mortgages can be had at under 5.0 percent for the par or even rate, with no points either way. 15-year fixed rate mortgages are being offered at below 4.5 percent and some lenders are offering 5-1 ARMs at below 4.0 percent.

Many had expected mortgage rates to rise once the US government programs for mortgage-backed securities and Treasury buybacks terminated in April, but the refinancing mortgage rates market never skipped a beat. In fact, rates have dropped over the past couple of weeks as turmoil in Europe’s debt mess prompted more buying of US treasuries.

Housing numbers continue to be the fly in the ointment, but recent improving numbers in key economic categories could bode well for an improvement in housing.

Opportunities still abound for those looking to refinance their current mortgage, but as always, get a good grasp on the current fair market value of your home before jumping into the water. Although home sales have perked up recently, overall home values still remain at relative low levels as compared to 2007 peak values.

If you are considering a home mortgage refinance now and need some help, have questions, or need some competitive refinance rate quotes, please check out the popular Refinance Tool Box. Just give a call at 888-850-9888 or fill out a Rate Quote Request online for professional assistance without the aggressive high-pressure sales tactics.

May the Mortgage Refinance Rates be with You!

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Debt Consolidation Refinance and Debt Ratios

2010-04-28T12:26:00.000-04:00

I often speak with potential refinancing homeowners that tell me they don’t think they’ll meet the debt-to-income (DTI) requirements for a new debt consolidation loan because they are holding too much debt. What many don’t realize is that all of the debts to be consolidation into the refinance are excluded from the DTI calculation, because they will not be a debt after the consolidation.

For instance, suppose the following:

DTI Before Consolidating Credit Cards

Gross Monthly Income $4,400
Proposed New Monthly Mortgage Payment $1,400
Monthly Property Taxes $250
Monthly Homeowners Insurance $80
Monthly Car Payment $300
Monthly Minimum Credit Card Payments $450
Total Household Expenses $2,480
Total Gross Monthly Income $4,400
$2480 divided by $4400= .56 DTI

In the example above, the proposed mortgage would be difficult for approval because it results in a proposed DTI of .56, which is over the limit required by most lenders.

DTI After Consolidating Credit Cards

Gross Monthly Income $4,400
Proposed New Monthly Mortgage Payment $1,400
Monthly Property Taxes $250
Monthly Homeowners Insurance $80
Monthly Car Payment $300
Total Household Expenses $2,030
Total Gross Monthly Income $4,400
$2030 divided by $4400= .46 DTI

After consolidating the credit cards, the result is a DTI of .46 and the loan would be in good shape for approval for income by most refinance lenders

Hopefully, this example will help those that would benefit with a debt consolidation refinance, especially with today’s mortgage rates, that may have just assumed they would not meet the income requirements.

If you are considering a home mortgage refinance now and need some help, have questions, or need some competitive refinance rate quotes, please check out the popular Refinance Tool Box. Just give a call at 888-850-9888 or fill out a Rate Quote Request online for professional assistance without the aggressive high-pressure sales tactics.

May the Mortgage Refinance Rates be with You!

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Refinance Mortgage Rates Continue Low Streak

2010-04-21T12:07:00.001-04:00

At the beginning of this month, a couple of key US government programs aimed at keeping mortgage rates low expired. There were many on the street that expected refinance mortgage rates to climb during the month of April, but so far, rates continue to remain near record lows.

The yield on the 10-Year Treasury briefly flirted with breaking the 4.0% key level to the upside, but just as it has done for the past year, it retreated back. This is really helping refinance mortgage rates to stay low.

The mortgage spread premium was expected to move up a bit after the government buy-back programs ended, yet it remains intact at the level prior to the program expirations.

Banks have been reporting stellar earnings numbers recently and this may be having an impact on the mortgage spread premium. As their balance sheets and cash reserves improve, they want to make more investments. Since the standard mortgage underwriting guidelines are keeping investors in a much safer place with today’s loans, there is some competition among lenders to get your business. This is a good sign.

Housing continues to the sore thumb with our economic recovery and could still be a major issue in the coming year for both mortgage lending and the overall economy. There have been some signs of housing price stabilization, but it is still too early to call a bottom for the market.

30 year fixed rate mortgages still are being offered near 5.0% for the par or even rates, while 15 year fixed rate loans on average are near 4.5%. The spread between the fixed rate mortgage loans and adjustable rate loans appears to be widening again as ultra-low 5/1 ARMs are being offered near 4.0% for some loan scenarios.

So yes, it is still a great time to take advantage of the low refinance mortgage rates, but as always, make sure you have a decent grasp on the current market value of your home before you get rate quotes. Home value has been the major stickling point in attaining the sweetheart mortgage refinance loans available on today’s lending market.

If you are considering a home mortgage refinance now and need some help, have questions, or need some competitive refinance rate quotes, please check out the popular Refinance Tool Box. Just give a call at 888-850-9888 or fill out a Rate Quote Request online for professional assistance without the aggressive high-pressure sales tactics.

May the Mortgage Refinance Rates be with You!

Refinance Tool Box

Your Refinance Mortgage Loan Process is Important

2010-04-14T11:17:00.000-04:00

Most times, a refinancing homeowner will understandably search for the best mortgage rates and closing costs for their new home loan, and really not put too much thought into how the loan process will be conducted by the mortgage lender.

The refinance mortgage loan process is actually quite important and can mean the difference between a hair-pulling experience for the borrower, or a cozy trip to closing.

If your lender doesn’t spell out their loan process from application to closing, simply ask them. If you get a haphazard and non-flowing response, this could spell trouble later on with your loan process.

There are a few general refinance mortgage loan process questions you can ask your lender to ascertain how your mortgage experience may transpire. First, it is good to know whether your lender has a dedicated loan processing team. Many lenders choose to cut costs and have the loan officer not only sell the loan, but also do all of the processing. A dedicated loan processor is essential for top efficiency and high level of service. There are too many fine details, especially today, in the processing of a mortgage loan to leave in the hands of someone not solely focused on the loan process.

Secondly, you may want to know about your lenders loan processing technology and coordination. Once a borrower’s refinance mortgage application is pre-approved and the rate is locked, a whole chain of activities must be completed and coordinated in order to get to the promised land of a successfully closed home loan. Lenders that utilize a contact management loan processing software procedure can put your loan process ahead of the game. Just consider that such items as document retrieval, order of title, order of appraisal, order of pay-offs, compliance documents completion, underwriting stipulation satisfaction, pre-closing and closing coordination, among others must be completed to get to closing before the rate lock expires. Yes, loan processing technology and coordination is very important.

Finally, you should ask about your lenders communication procedures once your refinance loan is put into process. Will you have access to your loan officer, loan processor, be given timely updates throughout the process, etc. In fact, there are some lenders that give the refinancing borrower online access to their loan process 24-7. The borrower logs-in with their own password and can view all the steps in the loan process that have been completed, and also the remaining items to be completed before closing. You may not think that communication is such a big deal, but when you haven’t heard from your lender in a couple weeks, and can’t get a reply from your loan officer by phone or email, it becomes a borrower’s number one priority. So, it’s a good idea to find out upfront how your lender’s communication procedures work for your refinance mortgage process.

Remember, a great rate and closing cost quote is a wonderful thing, but not if your home loan never makes it to the closing table. But now you are armed with the loan processing questions to ask your refinance lender.

If you are considering a home mortgage refinance now and need some help, have questions, or need some competitive refinance rate quotes, please check out the popular Refinance Tool Box. Just give a call at 888-850-9888 or fill out a Rate Quote Request online for professional assistance without the aggressive high-pressure sales tactics.

May the Mortgage Refinance Rates be with You!

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Pending Home Sales Rise as Treasury Yields Rise

2010-04-06T12:42:00.000-04:00

Yesterday’s pending home sales report was a welcome good bit of news for the ailing US housing market. The National Association of Realtors said Monday its seasonally adjusted index of sales agreements rose 8.2 percent from January to a February reading of 97.6. The surge in sales was unexpected, but very welcome.

Hopefully, this will be a good sign for housing going in to the spring as home buyers rush to take advantage of the government tax credit and low mortgage rates before they rise.

I think the real test of the housing market will come in the second half of the year when the homebuyer tax credit is off the table. The expired tax credit, coupled with the potential for home mortgage rates to go up could set up for another round of the housing market blues, but you never know what the government has planned to help prop up the sales in real estate.

The yield on the 10-Year Treasury briefly flirted with 4.0 percent yesterday. As a key component of refinance mortgage rates, a close above 4.0 percent could be a bad sign for rates. Money continues to flow into the stock market and away from bonds as the economy moves toward stabilization.

Depending upon whom you talk to, some believe the stock market is headed for another major dip as the government stimulus programs are lifted from the market. Others feel that we will stabilize in the equities markets and continue on an upward trend.

As this relates to mortgage refinance rates, if the economy continues to improve and home prices continue to fall, we could experience a rather healthy bump up in interest rates.

For those homeowners still considering a home refinance, there is a much higher risk of rate movement to the upside than to the downside. As always, just make sure to get a good grasp on the current market value of your home before rate shopping. Also make sure to get a solid refinance pre-qualification once you begin to get quotes.

If you are considering a home mortgage refinance now and need some help, have questions, or need some competitive refinance rate quotes, please check out the popular Refinance Tool Box. Just give a call at 888-850-9888 or fill out a Rate Quote Request online for professional assistance without the aggressive high-pressure sales tactics.

May the Mortgage Refinance Rates be with You!

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Still No Clear Direction on Housing

2010-03-31T11:48:00.001-04:00

As is often the case with economic figures, we may not know that we are out of the declining housing market until we are clearly above the stabilization line. There are key housing reports release each month for such areas as pending home sales, new home sales, and new construction, but these reports have left everyone wondering what the true direction of the housing market is.

It does appear that some key indicators are turning up positive, such as inventory reduction and a decrease to the days on market. Yet the positives are being jabbed by a continuous decrease in home values across the nation. In a nutshell, the reports have been telling us that people are buying up bargain priced homes and foreclosures. Historic low mortgage rates combined with the homebuyer tax credit have really helped to prop home sales.

This is fine and expected as a path is worn toward stabilization in housing prices along with supply and demand. What is still unknown is the true number of foreclosures still to hit the market. With the end of the government home buyer tax credit coming soon, along with the potential for mortgage rates to rise, we could possibly be in line for another dip in the housing market.

Employment figures are still dismal and it appears that consumer spending has been the saving grace for our economy this year.

Mortgage refinance rates have increased slightly over the past week as the treasury yields dipped up a bit. Still, rates are in great shape for the time being. I see immediate risk of a rise to refinance rates if the 10- Year Treasury Yield surpasses the 4.0 percent mark.

If you are considering a home mortgage refinance now and need some help, have questions, or need some competitive refinance rate quotes, please check out the popular Refinance Tool Box. Just give a call at 888-850-9888 or fill out a Rate Quote Request online for professional assistance without the aggressive high-pressure sales tactics.

May the Mortgage Refinance Rates be with You!

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2010-03-26T10:41:00.001-04:00

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Will the Weak Housing Market Keep Mortgage Rates Low?

2010-03-24T10:46:00.000-04:00

As I mentioned a few weeks ago, refinance mortgage rates could be going up at the enad of this month due to the end of the government stimulus programs aimed at keeping mortgage rates low.

But with a housing market that continues to show weakness, will the government not do something to keep mortgage rates low? One would suspect that the Fed will be keeping a close eye on the mortgage rates front. Some are guessing that the end of the Fed buyback programs are already built into today’s rates while others have been expecting a decent jump up in rates for April.

The overall economy has experienced a bit of a rebound as of late, which may put a damper on government stimulus to keep mortgage rates as low as they are now. It could be that a continued growth in the economy with a continued weak housing market could help to keep mortgage rates in a historic low “range”, but not necessarily at the levels we have experienced over the past several months.

Another cog in the wheel of the direction of mortgage rates is the future of the GSE’s such as Fannie and Freddie. The whole mortgage and housing market currently relies on the three government pillars, Fannie, Freddie and the Federal Housing Administration (FHA). There has been no real direction coming from the Obama administration on how these entities will be reformed. Future reform for these behemoths is up in the air at the moment.

Some on Capitol Hill argue that the government's push to expand homeownership through Fannie and Freddie was the main cause of the financial crisis, and that they should be phased out within four years. This could kill investor confidence in government guaranteed mortgage securities and cause a major rise in mortgage rates.

Yet, there are some powerful interests that don't want to rock the boat too hard. The National Association of Realtors is pushing to preserve Fannie and Freddie, but as nonprofit government authorities without private shareholders.

I opt for the latter as a solution, as we need to keep investors buying-up quality mortgage securities, while keeping the spread and corresponding mortgage rates as low as possible during the stabilization of the housing market.

If you are considering a home mortgage refinance now and need some help, have questions, or need some competitive refinance rate quotes, please check out the popular Refinance Tool Box. Just give a call at 888-850-9888 or fill out a Rate Quote Request online for professional assistance without the aggressive high-pressure sales tactics.

May the Mortgage Refinance Rates be with You!

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Refinance Mortgage Rates and Discount Points

2010-03-17T13:54:00.000-04:00

When quoting a mortgage rate for a refinancing homeowner, one of the first questions I usually receive is, “How many points are with that rate?” Now this would seem like a logical question because pretty much all rate quote advertising is geared toward the interest rate and how many discount points are applied. Yet, discount points versus the corresponding mortgage rate is only part of the picture.

Since mortgage discount points are paid upfront (or rolled-back in to your loan amount), they are essentially a closing cost. One discount point equals one percent of the total loan amount. So, if you are refinancing a $200,000 loan amount at a mortgage rate with one discount point applied, the discount point fee is $2,000 and applied to your closing costs.

Now here’s the dirty little secret for those that want to compare the rates among different lenders. Forget about how many discount points are being applied to your quoted rate! Yes, you read that correctly.

What you want to see are the bottom-line closing costs on a good faith estimate for the same rate, loan program, and qualifying factors from the different lenders you contact, on the same day.

As an example, suppose you are refinancing your first mortgage that has a remaining balance of $150,000, your estimated property value is $250,000, and your credit score is 745. You are looking for a 15-Year Fixed Rate mortgage. Make sure that each quote you receive is for the same variables and on the same day in order to get the most reliable comparison.

You speak with lender A, and they send you a separate good faith estimate on a 15-Year fixed rate mortgage for a 4.25%, 4.50%, and 4.75% program option. When you speak with lenders B and C, make sure to get good faith estimates for the 15-year fixed rate 4.25%, 4.50%, and 4.75% options using the same qualifying factors.

Next, you compare each rate quote by adding up all the costs and subtracting out any items for estimated pre-paids, estimated escrow deposits, estimated mortgage tax, and estimated recording fees. This leaves you with the direct bottom-line closing costs to compare among differing mortgage lenders for each rate you were quoted.

You may find that lender A quoted you the lowest discount points for any given rate, but their bottom-line closing costs are actually higher than lenders B or C. The bottom-line with tell you either way.

The weight that a discount point carries toward lowering a mortgage rate can vary among lenders, not to mention the fact that the fixed, or “third party” portion of closing costs can be significantly different among mortgage lenders.

Remember, don’t worry about the discount points, you want to know the bottom line!

If you are considering a home mortgage refinance now and need some help, have questions, or need some competitive refinance rate quotes, please check out the popular Refinance Tool Box. Just give a call at 888-850-9888 or fill out a Rate Quote Request online for professional assistance without the aggressive high-pressure sales tactics.

May the Mortgage Refinance Rates be with You!

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15-Year Fixed Rate Refinance Still a Great Deal for Those in 30-Year Mortgages

2010-03-10T11:19:00.000-05:00

I’ve touched on this topic before, but again want to reiterate that refinancing into a 15-Year mortgage can be a great deal for those currently in 30-Year mortgages. 15-year refinance mortgage rates are still in awesome shape, but may not be this low for too much longer. The key is that the spread between current 15-year and 30-year mortgage rates has widened over the past several months, making the 15-year interest rates extremely attractive for those with a loan timeframe of 5 years or more.

Refinancing into a 15-year fixed rate mortgage will benefit those that can comfortably handle the payment of course, but it may not be as high as you think. Lets go over an example so you can see what I’m rambling about.

Say Mr. Borrower is refinancing out of a 30-year fixed mortgage into a 15-year fixed rate home loan. He took out his original mortgage 4 years ago for $190,000 at 6.5%. His mortgage is paid down to $180,000 and he is refinancing a $180,000 loan amount into a 15-year fixed rate loan at 4.25% with no lender fee.

Mr. Borrower’s current principle and interest (P&I) monthly payment is $1,201 and after refinancing into the 15-year fixed, his monthly P&I will be $1,354. So, the monthly payment only increases $153.

The benefits for paying an additional $153 per month are quite astounding.

First, his loan term will be reduced by 11 years. (26 years remaining on current loan minus the 15-year new loan term).

Secondly, he will be saving a net total of $130,338 in interest over the term of his new mortgage. (26 years remaining on current mortgage results in $194,076 remaining interest to be paid. Total interest to be paid for 15-year loan is $63,738. $194,076 minus $63,738 equals total savings of $130,338).

Thirdly, Mr. Borrower will not be taxed on that $130,338 in savings (profit).

For those with a long-term timeframe and financially in the position to take advantage of the current 15-year refinance mortgage rates, this is really a fantastic opportunity while the interest rates last.

If you are considering a home mortgage refinance now and need some help, have questions, or need some competitive refinance rate quotes, please check out the popular Refinance Tool Box. Just give a call at 888-850-9888 or fill out a Rate Quote Request online for professional assistance without the aggressive high-pressure sales tactics.

May the Mortgage Refinance Rates be with You!

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What are Your Home Refinance Goals?

2010-03-03T11:38:00.000-05:00

Before a refinancing homeowner even speaks with a refinance mortgage lender, they should write down the goals hoped to accomplish for their new loan. Now this may sound funny, but once you begin your refinance search, you will most likely encounter mortgage quotes for multiple refinancing options. It is very easy to get lost in the interest rates, discount points, closing costs, and loan terms. Without an initial goal, it can be easy to refinance into a new mortgage that may not be the best fit for your specific circumstances.

For instance, is money tight, and you want to save at least $300 per month with a 30 year fixed rate mortgage. Maybe you want to consolidate all your credit card balances to save $500 per month and shorten the term of your home loan. Or, maybe you want to consolidate that first and second mortgage into one lower fixed rate and save at least $250 per month.

Maybe your refinance goal is unrealistic or maybe you are understating the actual financial benefit for a new mortgage, but it is still important to have an initial goal.

With your refinance goal in mind, next you need to determine what your anticipated timeframe will be for your new home loan. Will you be in your new mortgage for at least five years, ten years, or until the end of the loan?

With these two factors alone (goal and timeframe) you will be well armed to hit your refinance lender for some quotes.

Your refinancing loan professional should be able to quickly check current mortgage programs for your initial goal based upon your pre-qualifying factors. Some refinance lenders will also be able to give you a “breakeven” point in months for your closing costs.

So, if your goal is to save $300 per month refinancing your first mortgage into a 30-Year fixed loan and you plan to stay in your new mortgage for at least 5 years, a bottom-line quote that will save you $325 per month with a breakeven point of 22 months may be just the program you are looking for.

The point is that you will be well informed at the beginning of your refinancing process and be able to skip to the bottom-line to determine your desired benefit for your timeframe.

If you are considering a home mortgage refinance now and need some help, have questions, or need some competitive refinance rate quotes, please check out the popular Refinance Tool Box. Just give a call at 888-850-9888 or fill out a Rate Quote Request online for professional assistance without the aggressive high-pressure sales tactics.

May the Mortgage Refinance Rates be with You!

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