Freak/Chap mortgage rate?

Their dropping the rate isn't the only consideration in setting rates for mortgages. Inflation will keep the rates up a bit, I don't see it dropping below 5.5 for a few more months.
 
Will lower consumer confidence, possibility of recession and personal debt loads effect the mortgage rate ?
ie lowering it to try to get more people to borrow ?
Just a thought as you all know I am not a finicancial whiz like spinner.
 
Superfreak said:
National average last week dipped to 5.25%, current average is 5.45% I would have to check tomorrow to check current local rates.
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Well, if it gets down below 4.6 for a 15 year fixed I'll probably have to refi. I don't like to reset, but it is early enough that it would be worth it.
 
Damocles said:
Well, if it gets down below 4.6 for a 15 year fixed I'll probably have to refi. I don't like to reset, but it is early enough that it would be worth it.
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15 yr was at 4.9 but ticked up to 5 again.

while you technically have to "reset". You don't actually have to restart. I also plan to refi if rates drop a bit further. What you do is make sure there are no pre-payment penalties (illegal on arms, but some lenders will attempt to sneak them in on 15 and 30's) Only refi the amount you have left on your current mortgage. Then continue making the same mortgage payment you are right now after the refi. You will actually accelerate your equity build up and loan paydown that way.
 
Superfreak said:
15 yr was at 4.9 but ticked up to 5 again.

while you technically have to "reset". You don't actually have to restart. I also plan to refi if rates drop a bit further. What you do is make sure there are no pre-payment penalties (illegal on arms, but some lenders will attempt to sneak them in on 15 and 30's) Only refi the amount you have left on your current mortgage. Then continue making the same mortgage payment you are right now after the refi. You will actually accelerate your equity build up and loan paydown that way.
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Yeah, but it only really works best if you have an Adjustable that amortizes monthly as your actual interest owed drops each month with a principal drop.

It does cut time off to pay extra, you just don't get the interest drop.
 
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