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Choosing the right mortgage company when refinancing is imperative. Making a quick decision doesn’t always provide the best outcome. It’s important to have a clear understanding of what you are looking for when you set out to refinance your home. A great deal may not necessarily be all that it appears to be.

In December 2019, interest rates have recently reached a historic low. This is causing borrowers to consider refinancing an existing mortgage. Often times, they will turn to their banking institution, current mortgage company, or big-name lenders. The opportunity to refinance is a great idea for many homeowners, however, there are things you should look out for.

Initially, a low rate may not be all that it’s cracked up to be. For example, a low rate should not come with a big buy down fee unless the borrower requests that option. Other lenders will often offer a low-interest rate, but not disclose to the borrower that it will cost them thousands of dollars to buy down the rate. This commonly happens when the borrower reaches out to their current mortgage company or finds a big-name lender online. It’s always a good idea to shop around, especially when you are refinancing. Surprisingly, mortgage rates can vary by .25% to .75% which can save thousands over the life of the loan.

As you can see, it’s important to look around when it comes to finding the right lender for your refinance. A lender may offer a low rate, but it may not be the lowest you could qualify for. Instead of spending countless hours researching various mortgage companies, let the mortgage brokers at Indigo Mortgage find the lowest interest rate possible for you. Shopping your mortgage locally is always a great idea! We are experts at finding the best rates for Albuquerque and New Mexico residents. For your next mortgage refinance, reach out to Indigo Mortgage, where no one cares about your loan more than we do.

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