The recent headlines allude to a rising rate environment, but that may not tell the whole picture. While rates have increased slightly in the past few months, they are still near historical lows and should not be seen as a deterrent for buying a home or securing a lower rate with a refinance.

Pay Off Debt at a Fixed Rate

If you have any variable rate Home Equity Credit Lines or credit cards with a variable rate, consider a cash-out refinance to ensure your debt is locked in at a low rate. This may have the added benefit of reducing your tax burden as mortgage debt is generally tax deductible. A tax advisor can further guide you on the tax benefits of this option.

An Adjustable Rate Mortgage May Be Right for You

Depending on multiple factors, including how long you plan to stay in your property, an Adjustable Rate Mortgage (ARM) loan may be the right fit for you. ARM interest rates are generally lower than fixed-rate loans, which means a lower payment for you. One of our dedicated Mortgage Consultants can help you look at your situation and decide if an ARM fits your needs at this time.

Use Your Equity

If you were turned down for a loan previously, it may be time to evaluate the equity that has built in your home. This increase in equity may mean that you now qualify to refinance your loan at a lower rate, taking advantage of the market while the rates are still near historical lows. A member of our team can help you evaluate your current Loan-to-Value ratio for your home through an appraisal and determine if this is an option for you.

Act Now

While rates are still historically low, there is a strong possibility that they will continue to increase. Now is a great time to take advantage of the strong housing market and buy your dream home or refinance to complete those home improvement projects you have had your eye on.

Call Cambria Mortgage

To get started, call Cambria® Mortgage™ at 952-942-0110 or visit CambriaMortgage.com. Our team of experts will provide personal, hometown service with sound advice and impeccable attention to detail at every step of the process.