It It A Good Time To Refinance Your Home?
With all that's going on in the world with the Covid-19 pandemic, I was a little apprehensive when approached by a lender to refinance my house. I only purchased it a year ago on March, 6th. I had heard from a few realtors though, that rates were great and it was a good time because of that. Please note, I'm not by any means giving financial advice or telling you what to do in this blog, I just wanted to share my personal experience in the current housing market.
I ended up saying yes to a refinance though not with my original mortgage lender. I went with my credit union and I said I would only do it if it was zero dollars out of my pocket. Being I'm not sure what work will be like in the coming months, I want to keep as much cash on hand as I can. They locked me in at a conventional loan rate that was almost 2% less than the FHA that I currently hold. My mortgage will also go down about $70.00 per month.
With the rates low, it made sense for me, plus paying less every month will help things out going forward, especially not knowing how long the pandemic will interrupt normalcy. The housing market is also currently still stable but I do wonder how long that will hold out. It seems like it was a good time for me, I'm not sure if it is for everyone else but if the rates stay low, it might be worth looking into.