Refinance Rates

Executive Compilation By John Noble

Refinance Rates
Executive Summary By Ken Marlborough

When refinancing an existing loan it is important to know what the borrower expects from the lender. This factor is important, as Refinance is a process of mutual benefit, to the borrower and the lender. The single most powerful factor that makes any particular Refinance affordable or not is the Refinance Rate. The Refinance Rate largely depends upon the interest accrued on the Refinance loan. The Refinance Rate is expressed as the Annual Percentage Rate [APR]. APR is the total amount of money repayable by the borrower to the lender on a loan, per annum.

Mortgage Rate Refinance – What They Didn’t Teach You in School
Executive Summary By Kate Ford

Here is the secret to a successful mortgage rate refinance. Otherwise you would have learned how to evaluate a home mortgage refinance.  If you are looking to refinance your mortgage for the best interest rate and lowest monthly payment at the least cost, you must be prepared to ask specific questions. Who would call a mortgage company asking for the mediocre interest rate of the day! Perhaps you have an adjustable rate mortgage with payments scheduled to rise. Help the loan representative assist you by giving specific reasons for your home mortgage refinance.

Regarding interest rates, ask your loan officer to quote a current 30 year fixed rate mortgage as if someone were to make application and lock in an interest rate that specific day. For homeowners intending to pay off the home mortgage refinance more quickly, ask the same question for a 15 year fixed rate mortgage.

If you are comparing programs such as a 30 year fixed rate mortgage to a 15 year fixed rate mortgage, you need a Good Faith Estimate for each mortgage rate refinance product. Requiring a GFE is the best way to compare loan products as well as evaluating home mortgage refinance lenders.  Most of the time a no cost home mortgage refinance simply means the fees were folded into a higher loan amount or greater than current rate.

Low Mortgage Refinance Rates
Executive Summary By Ken S

I’ve found that although mortgage loan rates are not directly tied to the Federal funds rate, they tend to follow the same trends. Now that the Fed funds rate is at an unprecedented 0.25%, low mortgage refinance rates are following suit. According to Bankrate, (as of the last update of this article – January 2009) the lowest rates on fixed rate mortgages are around 5.30%. Certain credit types can take advantage of ‘no cost’ refinance loans where the lender rolls all transaction costs into the new interest rate. Who can benefit the new low mortgage refinance rates? Anyone whose current mortgage loan rates are 6.25 % or more. Though specifics and qualifications vary from lender to lender, many mortgage firms will offer affordable zero-out-of-pocket loan deals in exchange for an extra quarter-point on the interest rate. You never know how long low mortgage refinance rates will last.

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