Refinance your home if you haven't done so already

Now is a good time to consider refinancing your home if you have not done so already. As you can see from this graph mortgage rates are at generational lows. The recent decline in long term rates was a 'surprise' to the markets but not unanticipated by some. (Clients please look at your account statements.)


The Wall Street Journal had a recent article about shopping for a home loan:

The interest rates for 30-year fixed-rate mortgages are in free fall, averaging just 4.44% on Aug. 12, according to Freddie Mac. Not only was that down from 5.07% in January, it was the lowest since Freddie began keeping records in 1970.
But even better deals can be found at smaller banks and credit unions.
"I've found that my clients can get routinely better rates by heading to a more regional lender and forgoing the bigger lenders," says Sean Satkus, a real-estate agent in the Washington, D.C., area.
The differences can be stark. On average, the three biggest banks—Bank of America Corp., Wells Fargo & Co. and J.P. Morgan Chase & Co.—offer rates of 4.66% on 30-year fixed mortgages for home purchases, according to Bankrate.com. By contrast, St. Louis's Heartland Bank is offering a rate of 4.50%. Acacia Federal Savings Bank comes in at 4.25%. And Rockland Trust Co. in Boston is offering just 4.13%. (None of these offers include "points," or extra fees to secure lower rates.).

As the article mentioned some very good deals can be found at smaller banks and credit unions. Our family's primary checking account is at a credit union and their excellent customer service and low fees are a stark contrast to the national chains.

If you are in the position to refinance and have questions give me a ring and we can talk about some of the options / pitfalls when looking for a new mortgage.