George Cohen, Senior Mortgage Consultant

"WHEN DOES IT MAKE SENSE TO REFINANCE MY MORTGAGE?" You may have heard that a general rule of thumb is you should refinance if interest rates are .75%-1% lower than your current rate. While this is true in some instances, everyone's financial situation is unique, so there is never one uniform answer. There are several reasons for refinancing your mortgage. The most common reasons are: 1) lower your rate and monthly payment 2) cancel or lower PMI (mortgage insurance) 3) shorte...n your term to pay off your loan faster 4) pull cash out of your property to consolidate debt or make home improvements 5) consolidate a first and second mortgage When looking at refinancing to lower your rate and monthly payment, one of the most important things to analyze is the breakeven period on the closing cost involved with the refinance. A simple calculation of breakeven point is: Closing cost / change in monthly payment = number of months it will take to start reaping the benefits of the refinance. From there you can determine if it will make sense by thinking about how long you plan to stay in your home. If your breakeven point is 12 months, but you plan to sell your home within 12 months, it would not make sense to refi. If your breakeven point is 12 months, but you plan to stay in your house for longer than that, it could make sense. Also, if you have enough equity in your home, you can roll the closing cost in to the new loan amount, so you will not have to come out pocket at closing. There are also options available for "no closing cost" refinances. You can inquire about current rates and closing cost by contacting a mortgage lender, such as myself, at no cost to you.

The new build that we are financing on Hearn Road is coming along nicely! Martin Dodson Homes This customer was able to take advantage of our one-time close jumbo construction-to-permanent loan and lock in his long term interest rate before he even started construction!

One of the main reasons that I've been with the same company since I got in the business is our extensive list of loan options. We are truly a one-stop shop and this eliminates the stress of having to call around and search for the product that you need.

The buyers are coming in because of the low interest rates that’s the No. 1 reason, said Lawrence Yun, chief economist of the National Association of Realtors in an interview with HousingWire. The secondary demand is coming from the work-at-home phenomenon that has people looking for bigger homes and caring less about commuting time.

"Purchase applications continued their recent ascent, increasing 5 percent last week and 18 percent compared to a year ago. The pent-up demand from homebuyers returning to the market continues to support a recovery from the weekly declines observed earlier this spring,"

Here are 5 real estate trends that we are currently seeing as a result of the pandemic.

It's such an amazing time to refinance! The process can be so simple and quick. Best of all...if you have enough equity in your home, you may not have to pay anything out of pocket.