Glinkonomics: Why Now Is The Time to Refinance Your Mortgage

Glinkonomics (Ilyce’s take on what’s going on in the economy this week), Ilyce discusses why now is the time to refinance your mortgage.

Mortgages interest rates have come down, and now is the time to refinance your mortgage if you haven’t done so already. Three months ago interest rates were at a high of nearly 5 percent. Now they are somewhere around 4 percent. In fact, last week they were even a little below 4 percent at 3.96 percent. With these numbers, you should easily be able to refinance and find something in the 3 percent range. So what does this mean to you financially?

People always ask me if they have missed their window to refinance their mortgage, and the answer is no, but you will soon. It won’t be this year since the Federal Reserve decided to press on with $85 billion in monthly bond purchases; hoping to improve the economy. But is the government’s buying of mortgage-backed securities to keep interest rates low really doing anything other than propping up the stock market?

Artificially keeping mortgage interest rates low benefits Wall Street, which “supposedly” benefits companies in order to benefit people. But in reality, we’re not seeing that many more people employed. So if the Fed’s bond buying to keep mortgage interest rates low isn’t really helping the economy, who is benefiting from it?

You’re benefiting from it and I’m benefiting from it. With these low interest rates, now is the time to refinance your mortgage. You’ll be able to put more money in your pocket every single month. So get a move on and reassess where you are, and whether you can lock in something for longer.

With these savings, you can put $200 to $400 more in your pocket every month. It gives everyone who was underwater a big jump forward. And if you’re still underwater, the Home Affordable Refinance Program (HARP) can help you. You can find out more about it at

Less people are having trouble refinancing because the banks are doing a better job of processing HARP refinances, their own private refinances and loan modifications.

If you’re still having these problems, email me at and I will try to help.

WSB Radio’s Ilyce Glink Show – November 3, 2013

Click the audio link below to listen to the full Ilyce Glink Show on WSB Radio, or go to iTunes and download the show to your handheld device.

Thanks for listening.

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About Ilyce Glink

Author of 13 books, including the bestselling 100 Questions Every First-Time Home Buyer Should Ask. Writer of the nationally syndicated column, “Real Estate Matters.” Top-rated radio host in Atlanta. Writer for CBS Managing editor of the Equifax Personal Finance Blog.
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© Ilyce R. Glink. All rights reserved. This content may not be used, distributed, syndicated, compiled or excerpted in any medium or form without written authorization from Think Glink, Inc. For information on syndicating please contact us.

2 Responses to Glinkonomics: Why Now Is The Time to Refinance Your Mortgage

  1. Liz says:

    Hi. I was late with a payment and was told I would have to wait a year from the date of the late payment to refinance;I’m in my second year of a 3.5% ARM. My avg FICO is 689 with no other late payments on my credit report. I wanted to refi to pull out cash to 1) pay off bills (debt to income is high) and 2) to finish my renovation with plans to refi with increase property value and sit still.

    I’ve been told that cashing out equity is difficult to do these days and that one late mortgage payment is not helping my situation. Working diligently to pay down bills but I’m exhausted and at this pace it would take 3-5 yrs or more to pay down my bills. Besides the obvious (cut up the cards- haven’t used them in months), any advice?

  2. Pingback: Interest Rates Still Low – Weekly Recap | ThinkGlink

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