If you’ve been procrastinating about that mortgage refi, according to the San Francisco Chronicle, now is the best time in 50 years for mortgage refinancing. Interest rates are at their lowest levels in most people’s lifetime so if you’ve been on the fence about a new home loan it’s time to get off the fence. There are concerns that you should have about overpaying when mortgage refinancing; the fees you pay at closing largely determine how good of a deal you’re getting. This article at SFGate.com was written for homebuyers; however, their nine reasons also apply to getting the best refinance rates.
Interest rates are near a 50-year low, according to housing analysts. By the second week of May, 2011, 30-year fixed mortgage rates had fallen to their lowest rates of the year at 4.63%. Although mortgage rates vary from day to day, the 30-year rate at this level is an attractive inducement to first-time buyers, or buyers who want to either move up to larger residences, or others, including many empty-nesters wanting to sell and move to smaller houses or condos.
Once you’ve decided to go forward with your refi there are a number of common mortgage mistakes you’ll want to avoid so that you’re not overpaying. Paying junk fees and unnecessary markup lengthen the time it takes to recoup your closing costs by raising your monthly payment and the amount of cash you’ll be required to pay to close on the new home loan. Mortgage rate lock fees, application fees, broker courier fees, and yield spread premium all cost you money unnecessarily.
You can learn more about avoiding unnecessary markup and junk fees when mortgage refinancing by checking out my free Underground Mortgage Refinancing Videos.