Here’s a reason to look into mortgage refinance solutions: the rates in Salt Lake City real estate are not going down yet. Altius Mortgage Group knows this is sad news for those who want to buy a property, as prices could be higher than they can afford. Even if they can afford the mortgage, there’s still a lot that goes into those interest rates, especially in the case of a shorter term.
If you’ve bought a house with a higher interest rate than what you’re comfortable with, you might want to consider refinancing. Here’s how you know it’s the right time for refinancing.
1. Fixed Rates Are Going up.
The market shows a steady increase in 30- and 15-year fixed-rate mortgages. If you have a mortgage with an adjustable rate, the market conditions will dictate the interest you’ll have to pay. Now is the time to lock in a fixed interest rate before the prices skyrocket further.
2. The Value Dipped.
When you’re buying a house, you’re paying for its price depending on its value. That value changes over time depending on the market and the property upkeep. If your property’s value has taken a nosedive, you’ll be paying more for a property that has a lower value. If you refinance, you can get the monthly payments lowered. That depends, however, on the new interest and the market value of the house. Refinancing saves you from the exorbitant costs of staying with your current mortgage.
3. You’re Thinking of Purchasing Another House
It’s wise to think of the rising market prices as an investment opportunity. Anything you buy now, you can sell later at a premium. But what if you’re still paying for your first house’s mortgage? It will be tough juggling two expensive mortgages at the same time. Refinancing helps you get a bit of leeway in costs. Although, you have to have a good payment record to get your second mortgage approved.
There is a right time to refinance, just as there is a right time to buy a house. Get your timing right.