The final week of 2010 saw mortgage rates rising as HSH Associates reported rates for a 30-year fixed-rate mortgage (FRM) moved from 5.15 to 5.19 percent. Rates for a 15 year FRM increased by 5 basis points to 4.56 percent, while rates for a 5/1 adjustable-rate mortgage moved up by 6 basis points to 3.95 percent.
Although mortgage rates are trending upward, home shoppers and anyone seeking to refinance can find affordable financing for purchasing a home, or refinancing for purposes including home improvement and debt consolidation.
Improving your home and finances: refinancing may help
Homeowners with enough home equity may qualify for refinancing their mortgages; In addition to lowering your mortgage rate, it may be possible to refinance for cash out for paying off credit card debt or making home repairs. Homes needing extensive renovation may qualify for an FHA 203(k) loan which provides enough cash for refinancing your current mortgage plus renovation and remodeling costs. These loans are based on the "as repaired" appraised value of your home.
Before refinancing for cash out for debt consolidation, it's important to deduct refinancing costs from estimated savings. Refinancing is not a good idea if you plan to move within a coupe of years as you may not break even on the cost of refinancing your mortgage.
Finding your best mortgage loan or refinance option
Shopping for your next mortgage loan or refinance mortgage online is convenient; mortgage quotes are typically free and can allow you to shop and compare home loan options at home without any pressure. Review mortgage quotes carefully and make note of any questions or clarifications you wish to have addressed.
Our live database of current mortgage rates can help you find the best mortgage rates in your area.