If you’re considering mortgage refinancing in the New Year it’s about to get more expensive to take advantage of historically low refinance mortgage rates. Continuing the tradition of creative financing in Washington, Congress is finding new ways to shake change from your pockets with a slew of new mortgage fees. Here’s an article on MortgageLoan.com with the lowdown on the new mortgage fees enacted by Congress for 2012:
As part of the deal to extend a temporary reduction in payroll taxes, Congress last month approved a permanent increase in the fees borrowers pay on mortgages backed by Fannie Mae, Freddie Mac and the FHA.
$300 a year for the average homeowner is significant. These fees will start showing up on applications starting around the end of January, if lowering your payment with mortgage refinancing is your goal act now to avoid these fees.
Remember, in order to benefit from mortgage refinancing you have to recoup your out-of-pocket expenses by lowering your payment amount. Paying new fees or overpaying old ones like the loan origination fee or excessive discount points make it more difficult, even impossible to break even on your closing costs.
You can learn more about taking advantage of today’s low refinance mortgage rates from the best mortgage companies like Amerisave without overpaying by checking out my free Underground Mortgage Videos.