The current economic atmosphere has changed the ordinary view on traditional mortgage and its alternatives. The 30-year fixed-rate mortgage does not look as secure anymore, and adjustable-rate mortgages don’t look any riskier.
Recently, there has been increased activity in a fixed-rate mortgage with a 15-year term. These loans are getting popular among consumers who want to get out of debt more quickly and they realize that it comes at a price. A higher monthly payment in the current economic situation requires stability in the employment status and income.
A 15-year loan has 180 fewer interest payments than a 30-year loan, and the borrower with a 15-year loan would pay less in interest over the life of the mortgage. When the rates for 15-year mortgages lowered, it generated more demand than conventional loans.
olya Uncategorized, mortgage 30-year fixed-rate mortgage, adjustable-rate mortgage, interest payments, traditional mortgage
Have you recently caught yourself at listening to mortgage interest rates predictions for 2009 with as much interest and hope as you usually listen to weather forecasts? As the good weather improves our mood and helps carry out our picnic plans, getting the best interest rate helps us to plan for saving as much as possible when purchasing, refinancing, or modifying a home.
Many experts recommend homeowners and potential home buyers to wait until mid October to get their home loan refinanced, or modified. This is the approximately the time when mortgage rates will be at their lowest. Around this time, the lenders and banks are expected to be caught up with the pending applications, and be ready for new home refinancing and modification before the end of the year.
Of course, if you are facing foreclosure now, you should try to take action and save your home now, not waiting for a more favorable situation in a home loan refinance or modification. 5.19% is still a rather low interest rate, and you can use it to save hundreds per month in interest payments.
olya Uncategorized, mortgage home modification, interest payments, mortgage interest rates, mortgage rate predictions, refinancing