Blog Detail
New Refinance Opportunities
According to an article from The Washington Post, the Obama administration is pushing banks to making more home loans available to people with weaker credit to help with the economic recovery. They want to help first time home buyers and individuals with weaker credit due to the recession. The Obama administration wants the banks to take advantage of taxpayer-backed programs like the Federal Housing Administration.
The administration is also seeking to make it easier for people who owe more than what their properties are worth to refinance at today’s low interest rates.
Interestingly, I received a letter from my bank stating that I qualify for an interest rate reduction due to the help of the government. I always pay my mortgage on time and although we are in a transitional market, my house is still worth a little less than what I owe.
I foresee that it will be worth more within the next year or so. Right now my loan is being reviewed by my bank’s underwriting department and I’ll let you know how it goes. If your mortgage is at a higher interest rate than today’s rates, I would encourage you to contact your bank directly and see if you qualify for an interest rate reduction. Have a wonderful week.
Mahalo Nui Loa,
Melissa for The Smith Team
P.S. – Although sales were down in most areas across the country last month; prices are still trending higher. The slowdown in sales is not due to lack of demand, but rather because of limited supply. Read More.