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Is Now The Right Time?

To refinance or not to refinance? To buy or not to buy? These are two key questions everyone is asking these days. The answer is clearer today than 4 months ago when interest rates reached historic lows. when the federal reserve rolled out a plan to infuse $600B into the credit markets industry experts figured rates were likely to decline further, but with the Economy showing signs of strengthening and job creation (Unemployment rate now at 9%) on the rise, interest rates have begun their upward climb.

Whether considering a new purchase or refinancing of your existing loan, I would be glad to run specific scenarios for you so that you may decide whether or not it makes financial sense to move forward.

Here are three reasons to consider if you are thinking of refinancing or buying.

  1. The high balance loan limit ($418,000-$729,000) is set to expire Sept of this year.  Unless the deadline is extended, the cost of loans from ($418,000-$729,000) range will get more expensive as private investors will “fill the gap”
  2. Refinancing makes sense for just about anyone with a rate above 5.25%
  3. Home prices have bottomed out in desirable locations. If you are looking for a investment property or thinking of buying a home, its the right time.
Loan Program Monthly Pmyt Rate APR Points
Current Conforming Rates-Primary residences only (Pmyts based on a average loan amount of $250,000) 
30YF 1323 4.875% 4.940% 0
20YF $1598 4.625% 4.725% 0
15YF $1880 4.25% 4.325% 0
5/1 ARM $1140 3.625% 3.723% 0

SERVICE GUARANTEE: �
WE GUARANTEE A SMOOTH LOAN ORIGINATION PROCESS OR WE WILL REFUND UP TO $495 OF YOUR CLOSING COSTS

We appreciate the opportunity to work with you on your next refinance or home purchase transaction.  Please pass this along if you think we can help any of your close friends or family

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