With the 10-year treasury hitting an all-time record low yield today (February 25, 2020) of 1.31%, and mortgage rates at or near historic lows, does it seem to anyone else as if the banks are basically ‘giving’ their money away?
For current homeowners with a mortgage already outstanding, or a property owner with far less mortgage debt outstanding than the property is actually worth borrowed against it, the current interest rate environment is a great time to either refinance and lower monthly costs or cash-out refinance and take money out of the property at extremely low rates.
There are likely few who would disagree with the fact that locking in at current levels, assuming the numbers work in each individual situation, makes a great deal of sense.
At an event that I attended yesterday one of the speakers, Robert Sullivan (email@example.com, (813) 300-1477), a senior mortgage loan originator at Citi, encapsulated the current rate environment by describing the ‘10-year ARM that’s currently in the under-2% range. This is a scenario that over the course of my 25-years in the business I have never come close to seeing before.
Of course at some point rates could drop even further, but for anyone on the fence concerning a refinance or purchase of a property, the market now presents a phenomenal opportunity for financial planning in terms of mortgage interest expenses‘
He went on to discuss how many unique mortgage programs exist in the marketplace catering to the needs of a variety of different borrowers.
So while every individual situation is different now does, at the very least, appear to be the time to explore the mortgage market.
Mike Haltman, CEO,
Hallmark Abstract Service
(646) 741-6101, firstname.lastname@example.org