refinanceIf you currently have a home mortgage rate of 4.5% or higher, it may be a good time to refinance. Interest rates remain in the low 4’s or less depending on the type of loan program. The average rate for a jumbo 30-year fixed-rate mortgage dropped to a year-to-date low of 4.15 percent during the week ending August 29, according to mortgage-information site HSH.com. Average rates for this type of mortgage were as high as 4.7 percent in January (source: MSN Real Estate).

While the drop in rates may not seem significant, it can actually make quite an impact on how much money you save over the life of the loan, especially if it’s a jumbo loan. As the real estate market continues to improve, you may be in a much better standing to refinance your home now compared to a year or two ago. Guy Cecala, CEO and publisher of Inside Mortgage Finance says a refinancing advantage for jumbo borrowers is that many lenders are now hungry for jumbo loans. Lenders have been loosening underwriting qualifications, including minimum credit scores and loan-to-value ratios, he adds. “Jumbo borrowers who ran into trouble getting qualified or approved for refinancing a year or two ago definitely should check out whether it makes sense now,” Cecala says (source: MSN Real Estate).

It is recommended that you not only speak to a mortgage professional, but that you also consult with your financial advisor before deciding to refinance. Don’t be afraid to shop around and see what different lenders are offering for conventional and jumbo loans.

If you are in the position to refinance your home and need an experienced real estate attorney, please contact Attorney Jim Brady and Associates, P.C. at: 508-660-8888 or reach us online at: www.attorenyjimbrady.com. With over 29 years of real estate law experience, we will guide you every step of the way.