Getting a good mortgage rate can make a world of difference when purchasing your Stephenville, Texas home. Taking out a mortgage with a low rate can save you thousands of dollars in interest payments and allow you to pay off your home more quickly.
According to mortgage financier Freddie Mac, the average 15-year mortgage for a home recently dropped to an interest rate of 2.56% from 2.61%. This may not seem like a significant shift, but small changes in mortgage rates can have huge effects when applied to the large numbers involved in a real estate transaction. Last year, according to CNN, the average 15 year mortgage rate was 3.07%, showing a significant and steady decrease over time. Also, the average 30-year mortgage rate dropped 0.04%— again, this isn’t a huge numeric change, but it certainly makes a difference when applied to real estate transaction numbers.
But low rates are not only beneficial for people looking to buy a home. Current Stephenville, Texas homeowners can also benefit from these low rates. Refinancing can be a great option to save some money on your home or pay it off more quickly. If you have a current 30-year mortgage, consider refinancing for a 15-year mortgage at a low rate instead. The payments will be a bit higher, but with the low interest rate and acceleration of the process of paying off your home, it is worth looking into. Stephenville homeowners with adjustable rate mortgages might consider refinancing to a fixed-rate mortgage while the rate is low. A fixed-rate mortgage will lock you in at whichever rate you get, which is likely low in this market, to prevent fluctuation in your month-to-month mortgage payments and keep a more steady budget.
For further Stephenville or Erath County mortgage and real estate advice, don’t hesitate to contact us. We are experts in our field and would be happy to help you with all of your Stephenville real estate needs.