Many homeowners may have had doubts and questions about whether to refinance their mortgages over the past few months. Refinancing is especially responsive to mortgage rate changes, with higher rates slowing the number of people wanting to lock in their repayments. Current levels of mortgage rates are still at historic lows, opening up several refinance opportunities.
Whatever the post-election period holds, it is important for property owners to compare their current home loan rates against those available on the market. This is because there are still considerable savings to be made by locking mortgages into current rates. Some people might also qualify for zero-closing cost refinances - this means that lenders pay all the closing costs at a rate slightly higher than the market. For those wanting to refinance, this is especially helpful as they could get still benefit from relatively a low rate and also avoid closing fees.
Another advantage of refinancing is that it doesn't take a lot of time. For example, if FHA homeowners have made at least six payments on their current loan, they could qualify for an FHA streamline refinance deal. No appraisals or income verifications are required, helping to speed up the process. VA (Veterans Affairs) loans have similar offers, matching current mortgages with a lower refinance rate. Historically, these rates were always low and they are now, in today's current climate, even lower.
Despite rising rates, now could still be a good time to refinance, particularly for those uncertain of how things might look in 2017.