Fixed Rate Refinance Today – Can You Save Money by Refinancing in February?
Posted on | January 27, 2010 | No Comments
Getting a fixed rate refinance today could greatly help you save money in the near future. If you are looking to save money starting in February then you will need to do your research on going through the mortgage refinance process. If you have made all of your mortgage payments and your credit score has increased you have a very good opportunity to refinance to a lower mortgage rate.
At the present time the conventional 30 year fixed mortgage rate is around 4.85%. When looking at the historical trends of mortgage rates you can clearly see that we are very close to all time lows. In fact, the all time low was quoted in late November when the 30 year fixed mortgage rate was at 4.49%. Many homeowners would love to refinance to a rate this low but no one knows where rates will end up.
Many analysts have predicted that rates are going to move higher rather than lower. Some analysts have predicted mortgage interest rates as high as 8% in 2010. While this may be a stretch there is definitely potential for rates to move higher. The Federal Reserve Bank is going to stop purchasing mortgage backed securities on March 31st, 2010 which is likely to help move mortgage rates up.
With this in mind it might be a good idea to submit your mortgage refinance application sooner rather than later. By submitting your application today you could end up saving money as early as February. It is important to note that there are closing costs factored into a mortgage refinance so you will need to put this into the equation when you are calculating your savings.
Author: Alan Lake
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