Now is the best time to refinance your mortgage and get a new low fixed rate mortgage. The current interest rates are at an all time low so there are a few things that you should do right away. Refinancing your loan with the bank can save you thousands of dollars.
1. Find and use a Mortgage Calculator http://www.thefreemortgagecalculator.com/
2. Check your mortgage interest rate and compare it to the banks current rates to see what the difference is.
3. If you have an ARM rate then be very careful because rates can't get much lower which means they will be going up soon. Use a mortgage calculator to see what the maximum monthly payment is that you can afford. If it isn't much higher the make sure you refinance to a fixed rate very quickly.
Right now fixed rates are very close to ARM rates because the competition is so high between the banks. The risk of giving loans is very high because the real estate market has been sinking for about 2-3 years now.
Is Now The Best Time To Buy A Home?
Right now interest rates are at an all time low and real estate is down about 30-40% depending on the area so that sounds like a perfect time to buy. Of course real estate might go down another 20-30% but if you can afford the monthly mortgage payment then you will be in the clear.
http://www.thefreemortgagecalculator.com/
Interest Rates will start to go up and it's obvious that real estate has been going up in a stair case form for years. This is a down point in the market, but it will be back when the demand comes back. If homes start to gain their value back and interest rates start going up will you be able to afford the home then?
This is the best time to buy and the best time to refinance so make sure you don't miss your chance to cash in when real estate peaks next time.
