The numbers are in from last week and once again we sit on or near record lows for nearly all mortgage types. From jumbo loans to ARMs (Adjustable Rate Mortgages), everything is at or near the lowest levels ever. It is not surprising that refinance applications have also increased recently. 

The number of Americans looking to refinance has hit the highest levels since May last year. More homeowners than ever are looking to take advantage of today’s interest rates. So, why are consumers deciding that the time is now?

Mortgage rates have been low for quite some time. It is only in the past few weeks that we have seen any sign of a bottom. Once rates hit bottom, smart consumers (who have already begun the refinance process) will be able to close and get the most out of their deal. Those who wait may find higher interest rates and fewer savings than they had hoped for.

The most important thing to note about refinancing is that it is not like it used to be. Increasing strictness on lending practices as well as new rules for lenders makes the process slower than you might have remembered. Having all your documents in order as well as staying up-to-date on where your refinance is what can make the difference between a refinance nightmare and a refinance dream come true.

Nance Blog