San Jose, CA (PRWEB) October 31, 2013
Best-selling Author and CEO of Arcus Lending Shashank Shekhar, in a recently published blog post, advised California homeowners to refinance before it’s too late.
Mortgage rates have been falling in last few weeks and have reached a 4-month low. A weaker than expected employment report has contributed to the fall in rates. Against a consensus forecast of 180K, the economy added just 148K jobs in September.
The weaker employment news means that the investors now think that the Fed won't taper its bond purchase till early next year. Mortgage rates in the last 4 years have been kept low by the Fed. Strong economic news would mean that the Fed would start tapering that purchase which would mean higher mortgage rates. However, most economic news in the last 2 weeks has been weaker than expected, hence the mortgage rates have trended lower.
Shashank Shekhar, however, warns that the lower trending rates may not last a long time. Fed does want to taper the bond purchase and will do it at the first opportunity they can. Few months of better employment report will most likely cause the Fed to do that.
There is a high likelihood of rates moving higher early next year. So there is a short window of opportunity for borrowers looking to refinance. If they have closed their loan in last 3 months, chances are, they have higher rates than the current market rates.
As a rule of thumb, if a homeowner can get 0.25% better in rate with little to no cost, it’s advisable to refinance. If there is too much of closing cost involved, refinancing may not make sense even with a lower rate.
“We at Arcus Lending, offer a no-cost refinance to our clients where they pay little to no cost at a better rate. That coupled with our award-winning expertise and 5-star rated customer service makes it a no brainer to refinance,” said Shashank Shekhar.
Arcus Lending has also published an eBook authored by Shashank, titled “How to Shop Mortgage Rates Like a Pro”. This is available for free download at - http://www.arcuslending.com/ebook/.
About Arcus Lending:
Arcus Lending is a mortgage broker and a direct lender in California. They offer a variety of loan programs, quick closing and legendary customer service. They can be reached via email at Info(at)ArcusLending(dot)com and via phone at (408) 615-0655 or via their website http://www.arcuslending.com/.