Archive for Mortgage News
No Cost Mortgage Refinancing
Posted by: | CommentsIn most cases, homeowners save money when refinancing their home. However, with the cost of refinancing rising it is important to try and negotiate your closing costs prior to making the commitment to refinance. Mortgage refinancing costs can be a deterrent for borrowers who are looking for the best home refinance loan. But with refinance rates at a 50-year low there are things you can do to reduce or even absorb lending costs.
Negotiate Closing Costs When Refinancing
Vince Ingui is a mortgage consultant who works with Louviers Mortgage told some borrowers recently that the key is to find out at how loan closing costs are categorized.
No closing costs out of pocket means you don’t have to pay for closing costs at closing because the refinance loan enables you to finance the closing costs into the mortgage. So in this case, the borrower would still have refinance costs but they do not have the pull money out to pay for it.
No cost mortgage refinancing is when a lender actually pays the closing costs. The lender pays for 3rd-party lender fees like, title, appraisal, escorw and notary. He warns that often times the mortgage refinance rate is higher, when the company offers a no cost refinance. Ingui suggests that either they are going to make it in the closing costs or with your rate and more times than not you will pay a higher interest rate.” Ingui warned homeowners to watch out for additional fees when they are comparing quotes for home refinancing. Beginning in January, those fees are required to be included in the so-called “good faith estimate.” The time has never been better for mortgage refinancing if you meet the criteria to qualify.
Best Jumbo Mortgage Refinancing in Years
Posted by: | CommentsJumbo mortgage rates declined significantly over the last few weeks. As of July 12th, borrowers could refinance with a 10/1 jumbo rate starting at 4.75%. This was exciting news for California homeowners looking for the best jumbo mortgage refinance opportunity in years.
Jumbo Mortgage Rates Available at 4.75% and Fixed for 10-Years
According to iServe Lending’s George Kaganovich, a mortgage lender in California, “This is wonderful news for thousands of California homeowners who have been stuck in adjustable jumbo mortgage rates for years.” In high costs areas like California and New York, borrowers have been unable to refinance out of their variable rate loans. The jumbo refinance guidelines were tightened over the last few years and the jumbo mortgage rates were significantly higher than the highly publicized conforming rates. Kaganovich said that for many of their clients it ment saving thousands of dollars a year.
Bloomberg reported that yields on the Fannie Mae bonds have advanced to 3.73% from a record low of 3.63% reached July 6th, down from 4.67% on April 5th. The gain has been slower than benchmark Treasuries, whose yields have begun to jump as stocks rallied.
Freddie Mac reported that the average fixed mortgage refinance rate for a conforming mortgage declined to a record low 4.57% in the week ended July 8th. The MBA report indicated that the average fixed jumbo mortgage with a fixed jumbo declined to a record low 5.25% in the week ended July 8th.
Compare Mortgage Refinance Rates
Posted by: | CommentsMortgage rates fell to a record-low last week, with the rate of a 30-year fixed loan dipping to 4.69 %. Borrowers who have been waiting for the best time to refinance their home find themselves in a good position.
Is Your Home Mortgage Rate Higher than 5%?
Some economists anticipate that mortgage refinance rates will remain low for at least another six months. However, if you are considering mortgage refinancing and you qualify under the 2010 refinance guidelines then you should not wait.
The current mortgage refinance rates are the lowest they have been since 1971 so the chances of them getting lower are slim. The chances of mortgage lenders tightening home refinance guidelines are much greater. If you are eligible to refinance today, take advantage of these record low interest rates and lower your mortgage payment.
Many home finance analysts feared how the mortgage market would once the tax credit for homebuyers expired on April 30th. A recent published report released earlier this week indicated that new home sales plunged nearly 33% last month. Compare lenders so you can get the best mortgage refinance rates online!
Let’s compare mortgage refinance rates: A year ago, the average mortgage refinance rate was 5.22% and 10 years ago, people were refinancing at 8.15%. Today, the average 30-year mortgage rate is 4.675% and the average 10-year mortgage is now at 3.875%. The banks continue to extend low mortgage rates because to the instability in the market and the European debt crisis.
Mortgage Refinancing Challenges
Posted by: | CommentsMany borrowers who are considering mortgage refinancing options are a bit nervous about the loan process because so many loan applicants are being rejected these days. When comparing home refinancing quotes, you no longer need to be intimidated by lenders or mortgage brokers. The mortgage industry fall-out and stressed financial markets have opened up new opportunities for homeowners to save money with new mortgage refinancing programs. Many of the underwriting obstacles for homeowners have been removed. FHA and VA refinancing products remain flexible for borrowers who may not have perfect credit. However, these obstacles can be easily overcome with a little research and preparation. Here are some of the things to be ready for, and some tips on how you can prepare yourself to go through the mortgage refinancing process with ease:
1) Income – Today it is more important than ever for home refinancing to be able to document your income. You must be able to document that you can afford making payments on your personal and housing obligations to qualify for a refinance loan.
2) Credit Score – Even more than in previous years, credit scores are the driving factor for lenders to approve a homeowner for a refinance loan. Underwriters like the credit score system because it measures the borrowers payment history for multiple accounts like home, car and credit card payments.
3) Home Equity- Your current home value is a key component of the refinance process. Homeowners considering refinancing are frequently concerned that their housewill appraise for a lower value than they expected. It’s important that you do your homework so you aren’t solely relying on the information provided by the appraiser. More appraisers are working in areas they aren’t familiar with and that often means they are going to undervalue the property.
It’s important to find a lending company that you trust when you are considering mortgage refinancing. A good loan professional can help you breeze through the refinance process and help you find the option that works for you. Now is a great time for mortgage refinancing because interest rates will likely not get lower.
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