Blog

The Impacts of Low Home Interest Rates in Texas

October 29, 2012 by Kevinmiller
Share This Post       

 

low texas home interest ratesLast week here at Texas Lending Today, we looked how extraordinarily low home interest rates have become in recent months — and how they’re prolonging the historic buyer’s market that has lasted nearly four years now. Currently, our 30-year loans start at just 3 percent, while 15-year fixed rate loans are as low as 2.5 percent. Five-year adjustable rate mortgages can be had for an astounding 2.375 percent.

According to the San Jose Mercury-News, these rates are indeed historic. But more important, the impact of rock-bottom home interest rates goes far beyond easy home-buying:

The lowest mortgage rates in history are helping older borrowers ease their debt burden and allowing baby boomers to sock money away for retirement, mortgage brokers say. “I’ve gotten a lot of people who are not quite to retirement, but can kind of see it on the horizon,” said Cheryl Mehe’ula of mortgage broker E.F. Foley in San Jose.  “They want a payment they can really live with over a longer term.”

[…] The low rates carry special urgency for boomers and seniors. The median value of mortgage debt for people 55 to 64 years old has increased 187 percent in the past two decades, probably because many pulled out home equity during the housing bubble, according to a report by AARP. The median amount of debt for people ages 65 to 74 has also increased sharply, the AARP said.

That’s the thing about low home interest rates — they make life easier in all sorts of ways. This is especially true during tough economic times, when extra cash can be hard to come by and many families are finding themselves in need of a financial lifeline until things improve. Here’s how low rates can help:

Home Refinance Rates

 

If you’re already a homeowner, now is simply an extraordinary time to refinance it. If you’ve owned your home for several years, it’s unlikely that you received rates like the ones we’re offering now. Refinancing to today’s rock-bottom rates can save you tens of thousands of dollars over the length of the loan, with some of that savings coming instantly. This is true whether for an Austin home refinance, Dallas home refinance or Houston home refinance.

Home Equity Rates

 

Similarly, low interest rates can allow you to leverage what’s likely your most valuable asset — your home — to get cash for other uses. Whether through an Austin home equity loan, a Houston home equity loan or Dallas home equity loan, your home can allow you to pay down debt, invest in higher education, remodel your home to boost its market value, or any number of other possibilities. In other words, it gives you financial flexibility.

 
 

Topics

 

Popular Posts

 

Current Rates

 

VA Purchase
30 Year Fixed

As of: September 17, 2018

4.750%
RATE
4.923%
APR

Rate/Term Refinance
30 Year Fixed

As of: September 17, 2018

4.750%
RATE
4.792%
APR

Rate/Term Refinance
15 Year Fixed

As of: September 17, 2018

4.125%
RATE
4.195%
APR

Cash Out Refinance
30 Year Fixed

As of: September 17, 2018

5.125%
RATE
5.207%
APR

FHA Purchase
30 Year Fixed

As of: September 17, 2018

4.750%
RATE
5.498%
APR
 
 
 

 

 

Read What People Say

 

Aaron Blackburn

"First time to refi. They explained process in detail and I never felt rushed. Closed quickly. Happy with experience and will recommend to anyone looking for such services."

 
 

Recommended For You

Take a closer look at the loan expertise and customer service that earned us the acclaim of Dallas/Ft. Worth for 10 consecutive years.

FIND A LOAN