Recently, Lisa Leigh Kelly of KEYE-TV in Austin sat down with Mark Sprague, Director of Business Development for Mission Mortgage, to discuss the current economic situation, mortgage rates, and demand in Austin. Portions of the interview were used in a news segment that was aired on August 9, including clips from Sprague.
The segment covers a number of topics, including the Fed’s recent announcement that they intend to keep interest rates down at least until 2013 in an effort to calm investors and urge potential borrowers to research the loans they need. Mortgage interest rates are now near 4% and at historic lows once again, making it very attractive for refinancing. Sprague suggests that anyone holding a mortgage with an interest rate of 5.5% or more should lock in lower rates now to take advantage of significant savings. Refinancing allows for many options and here in Austin home values do not seem to be preventing most homeowners from restructuring their loans with a lower rate.
Sprague also touches on demand issues in and around Austin, explaining that demand remains high while supplies are starting to dwindle. That should lead to higher prices, fewer days on the market, and the change from a buyer’s market to a seller’s market. This is not true nationwide, but couldn’t be more clear here in Austin.
If you are considering a home purchase, now is the time to contact Mission Mortgage to go over your options and select the right path for you. If you already own your home and are paying interest rates above 5.5%, contact us now to learn your options for refinancing. In most cases, the monthly payment will go down and can quickly offset the costs associated with the new note. Another option allows owners to keep the same monthly payment, but shorten the lifespan of the loan, saving additional money in interest when compared to the original note. Some borrowers can lower their monthly payments AND shorten the length of time it takes to payoff the loan. Contact us today at firstname.lastname@example.org for more details.
To learn more about Refinancing, including some common myths and misconceptions, please see our previous blog post by clicking here.
To hear the complete interview from KEYE-TV, please click here.