Photo from trip, "Lioness camouflaged sticking out her tongue" photo by Caroline Gerardo copyright all rights reserved
March 2013 came in like a lion and out like a lamb in mortgage rates. Month end interest rates in California were flat or bouncing on the bottom. Will April be as kind? Indications seem to push home loan rates just an eighth higher, but upward rates will slow our recovery. Bond traders taking some profits early today. Right now this hour indications might close the bond market to lower rates today and tomorrow by fractions. My crystal ball says until the end of April we will see upward by another sixteenth, unless more countries in the EU stir the brush and make that lioness mad.
In Orange County and specifically Newport Beach and Laguna Beach there remains a frenzy to purchase property and close before the next storm.
How do I know if it is worthwhile to refinance my
loan?
I owe $ 110000.00 On my first at 6.375% 30 year
(payment $ 686.24) and $55000 at 6.95% 15 year ( payment $ 492.81) on my
second. This is a second home worth about $550000. I want to get rid of the
second HELOC and get the payment down. My FICO score is around 760 the property is in Laguna Niguel, California
CAROLINE GERARDO
NMLS #324982 W J Bradley Mortgage Capital LLC.
20341 SW BIRCH STREET # 330 Newport Beach, California 92660
Mortgage amount: $ Mortgage
term: years
or months
Interest rate: %
per year Mortgage start date:
Monthly Payments: $
Verse
existing payments of $1179.73
Because you want to consolidate your second in to a lower first,
the refinance is considered cash out. While lenders have gotten more
conservative about cash-out refinances, owning your second home with low loan
to value at $550,000 -- especially with your credit score – a make sense
decision for our Underwriters.
The downside of a first mortgage refinance is the higher closing
costs associated with that mortgage. The national average for closing costs on
a $200,000 loan in 2012 was $2590.Besides lowering your payment, you should definitely look at a
shorter-term mortgage, like a 15-year fixed-rate mortgage, so you don't end up
spending a ton of money on interest by extending out to 30 years. As I write
this, W J Bradley's national average for a 15-year fixed-rate mortgage is
2.875% percent or 2.911% APR
The interest rate differential between a new 15-year fixed-rate
mortgage and your existing 6.375 percent mortgage on your second home should
give you enough of a reduction in interest expense to justify the refinance on
its own.
Even if you decide to refinance thirty years, the payment is going
to reduce $ 391.99 per month. We can close a refinance in less than twenty nine days, let's save you some money.
Tomorrow is Easter Sunday, and though it is foggy now at my house in Monarch Beach California, the sunset was beautiful. Here in paradise there were few open houses and only the grocery store was busy. The photograph above is one of a few I will share from a trip to Africa. I love the ten minutes as the sun goes down, when we all ought to say a prayer and be thankful. Happy Easter tomorrow or Passover, I'm busy cooking for my crew tomorrow.
