2007-01-09 14:37:14 · 3 answers · asked by benjie b 2 in Business & Finance ➔ Renting & Real Estate
As a mortgage lender, I found most people are now refinancing to consolidate debt. It's no secret that many Americans are incurring too much credit card debt, and the easiest way to get lower payments is by refinancing your home - consolidating your debt. Since many already have a great interest rate, the only other folks to refi are those on ARM loans.
2007-01-09 14:56:19 · answer #1 · answered by amy23 3 · 0⤊ 0⤋
If they can get a lower interest rate than they currently have, then over time it can save huge amounts of money. In addition, if they need money for something and have some equity in the house, or the house has risen in value since their first mortgage, they can refinance for the whole value of the house and get some cash back
2007-01-09 22:42:38 · answer #2 · answered by Rani 4 · 1⤊ 0⤋
people usually decide to refinance a mortgage when interest rates are lower. in recent years, interest rates have been so low, lower than the rate many people were currently paying. everyone took advantage of refinancing to save $. when interest rates are low, you will also see an increase in people buying houses or building houses, and in turn an increase in houses for sale.
2007-01-09 22:56:26 · answer #3 · answered by tma 6 · 0⤊ 1⤋