Mortgage Rates Fall to Historic Lows

The national average on Mortgage rates has fallen below 5% for the first time on record, according to Freddie Mac.

This is good news for those trying to refinance, if you’re able to. Applications are flooding in but the truth remains that lending standards are still strict. Nevertheless, everybody’s situation is unique and only a mortgage professional could really help you understand your options to determine if refinancing is in your best interest.

Furthermore, the impact on home sales and prices should be minimalistic. You may seem some homes come off the market, lowering supplies. But there are still a large number of homeowners facing foreclosure. There is no quick fix for the problem. You can look at these lower rates and the potential for future lending legislation as a bandage. This will take some time to heal.

I do advise those who are in good standing to take a minute and evaluate what you could be saving. Every percentage point lower your new rate is equates to about $100 on every $100,000 borrowed. Doesn’t sound too bad, right?