I have read so much lately about whether or not it is a good time to buy real estate. There are many factors in favor of doing so. Heck, it's a buyers market! I can't think of a better time to buy something than in a market that favors the buyer. I am surprised that my colleges have not given much thought to the other side of the mortgage business, that of refinancing.
Is now a good time to refinance your existing mortgage? I will go on record as saying now is a good a time as ever. There are some challenges to doing so but the principles of the buyers market spill over into the mortgage side of things.
There are a number of reasons you may need or want to refinance your mortgage and most of these have nothing to do with the market. You may be looking for a rate or term reduction to your existing mortgage. Either of these can potentially save you thousands if not hundreds of thousands of dollars over the term of your mortgage. You may need tofix in an adjustable rate or pay off a balloon payment. You may have taken out a mortgage that required you to pay a Mortgage Insurance Premium that you would like removed. You may need to refinance to take the mortgage out of someones name or you may want to refinance to add someone to the mortgage. These are all valid reasons to speak with a mortgage professional to determine what your options are.
Credit markets are tight right now. That means as a consumer you may find it harder to borrow unsecured money. You also may find that rates are going up on your revolving debt that you have already borrowed. You might want to consider taking some of the equity out of your home to pay for something you need such as education or a child's wedding or you may want to consider taking some of the equity out of your home to consolidate your other debt. These are all valid reasons to speak with a mortgage professional to determine what your options are.
When you seak professional advice, please be clear about what your objectives are. Remember, it is a buyers market and deals are available. Just remember my mother's advice, sometimes you get what you pay for. Never sacrifice trust and professionalism for a good deal.