For most borrowers their mortgage rate was cut by 1.8% in the third quarter which is equivalent to a $3,500 savings a year on a $200,000 loan.
Chicago, IL (PRWEB) November 13, 2013
Refinancing Activity remains quite popular among homeowners due to historically low interest rates. Peoples Home Equity, a mortgage lender, offers a variety of refinance options that struggling lien holders can take advantage of.
Refinancing is a good option to change the terms of a current loan to one that suites your needs. By Refinancing and lowering your monthly mortgage payment, lien holders can live more stable lives. In addition, any anxiety for those holding an adjustable rate mortgage can be eliminated by rolling into a fixed rate long term loan. With 30 and 15 year mortgage rates averaging at historical lows, now is a great time to refinance a mortgage.
According to Freddie Mac’s 3rd Quarter Refinance Report 30-year mortgage products averaged at 4.44% while 15-year products averaged at 3.48% in the 3rd quarter of 2013. American’s are definitely paying attention the low interest rate environment because as Freddie Mac’s report points out, individuals were “overwhelmingly choosing the safety of long-term fixed-rate mortgages.” For most borrowers their mortgage rate was cut by 1.8% in the third quarter which is equivalent to a $3,500 savings a year on a $200,000 loan.
If you are a currently paying a mortgage and wondering how much can be saved by refinancing, use the the “How Much Will I Save By Refinancing” calculator on the Peoples Home Equity website. One should not assume that they will be rejected from refinancing, nor should they be suspicious of a way they may lose money by doing so. Refinancing is built to help individuals repay their mortgage in a comfortable and steady manner. Even for those who owe more money than their property is worth, Peoples Home Equity has a loan for you, which is called a HARP loan.
Anyone who feels that they missed out on a refinancing opportunity because interest rates have already increased from last year should know that mortgage rates are on the verge of going higher. As unemployment has been trending lower over the last 12 months the chance of the Federal Reserve tapering its asset repurchase program (QE3) goes up. Once the Fed begins to cut back on QE3, markets will probably react with higher interest rate. Thus, for readers who are still paying a mortgage with a higher rate than currently offered, understand that refinancing still remains an option; however, this opportunity may not be available as the economy continues to improve.
Contact a Peoples Home Equity representative today at (855) 897-0300, and discuss under no obligation, all refinance options.