Economic Conversation

Getting a fixed rate home loan with a low mortgage rate can save you a ton of money over your lifetime.  By just saving a full percentage point on your home loan, you could save up to hundreds of dollars each month on a monthly mortgage payment.  One of the most often asked questions in the mortgage market is “how do I get a low mortgage rate for my home loan?”  Well, the old say is time is everything.  This is not the absolute truth, but it is very important when it comes to getting a low mortgage rate.

I think we all have friends or family members who got an extremely low mortgage rate in March or April.  I have several friends that refinanced around 4.5%.  This is not the case today as average mortgage rates hover around 5.2%.  Historically speaking, 5.2% is still very low and is nothing to shake a stick at.  Many people are wondering if mortgage rates are going to go lower or higher in the near future.  No one can predict the future, but it seems like the actions of the government are not working very well to keep mortgage rates low.

If the work of the Federal Reserve Bank does not keep mortgage rates below 6%, it is very possible that we will see much higher mortgage rates in the next few years.  If this is the case, 5.2% sounds VERY good.  Although there is a possibility that overall rates could go lower, it is very difficult to pass up current mortgage rates.  If you have been considering getting your first home loan or a refinance of your current loan, now might be one of the best times to take action.  There are many interest resources available so don’t let this opportunity pass you by.