Wednesday, February 4, 2015

Reality Check Equals Mortgage Check!

You might be surprised that …. some people don’t know their mortgage rate. If that’s you then it’s time for a mortgage analysis to see if you could benefit from changing or refinancing your mortgage. just survey a 1000 people with a mortgage and an astonishing 1/3 didn't know their current mortgage rate.

This rate is a number that controls the most expensive asset you and most Americans will purchase in your lifetime yet there are thousands who don’t know this information. Crazy right?

I have always advised my clients to take a look at their mortgage and do an analysis each and every year to make sure you are not paying too much in interest based on the current market. Or pay attention to the rates, you have an investment to look after so there is good reason to do this.

There is a great disclosure called a Truth and Lending Disclosure or(TIL) and this document can be used by a mortgage professional to calculated both your current mortgage rate and a new one with lower rate based on national averages or your personal pricing. The TIL will provide you with the amount of finance charged over the period of your 30 year mortgage. A side by side comparison will tell you just how much you will save by refinancing. 

I sometimes get a client who doesn't want to recast his loan and start all over at the 30 year mark.
In most cases you will still realize a savings over the term of the total financing period but another way to avoid a full recast to 30 years is to take a look at a 15 or 20 year mortgage term, these also come with even lower rates for more savings.

Your mortgage analysis process takes about 20 minutes for most mortgage professionals, a copy of your current mortgage statement is all that is needed. If you would like me to take a look I’d be happy to do that or answer any questions you may have.

I also publish a Newsletter every Monday with the average national mortgage rates and provide an economic snapshot for that week. If you are interested in receiving this information go ahead and subscribe to it with your email. 

Your comments and questions are welcome and encouraged. 
Thank you for stopping by! 

Roxy Redenbaugh
ACMC Loan Consultant
Certified Mortgage Coach
Branch Manager
NMLS #269926