Refinance rates have been historically low in 2010. Refinance rates were driven to record lows to help the housing market recover from one of the worst housing markets ever caused by a boom in building and excess funding in the mortgage market. Refinancing rates are going higher in 2011 so if you haven’t refinanced yet you should.
You might be on of the many home owners who are unable to take advantage of low rates because you don’t have enough equity in your home. You might also be upside down on your mortgage which means you owe more than their home is worth.
You won’t find a lender who will lend you more money than your home is worth to refinance. Not these days anyway, back during the housing boom you could refinance as much as 120 percent of the home’s worth.
Refinance rates hit record lows in the fourth quarter of 2010 and have hovered around ths same level. Late last year fixed conforming 30 year refi rates hit an all-time low of 4.23 percent. To give you some historical perspective on how low rates are back in the early 1980′s fixed conforming 30 year mortgage rates were over 17.50 percent according to Freddie Mac.
Some mortgage lenders will give you a rate around 4.25 percent today if you buy down the refi rate with mortgage points. These days fixed conforming 30 refi rates are around 5.00 percent. In last week’s Primary Mortgage Market Survey Freddie Mac reported the average 30 year mortgage rate was exactly 4.82 percent.