Two mortgage brokers in Santa Clarita noted that recent home interest rates are “unbelievable,” and encouraged homeowners to look into dropping their current rates.
During the latest “The Financial Hour” on KHTS, Fred Arnold and Dave Cantrell from American Family Funding talked about how someone can lower the interest rate they’ve been paying on their home mortgage.
“We’re going to talk a little bit about interest rates, because they are still unbelievable,” said Cantrell. “If anybody thinks they’re not unbelievable, go ahead and Google 30-year interest rates over the last 30 years and see what that chart shows you.”
Some may incorrectly make the assumption that they wouldn’t be approved for a refinance because of the amount of debt they have, but Cantrell pointed out that debt is a good reason for refinancing.
“A lot of people will tell me, ‘I can’t refinance now because I’ve got to pay off my debt,’ and what I try to explain to them is, no, no, no — that’s why you refinance, to pay off your debt,” said Cantrell. “So don’t let that be a reason why you don’t call.”
People have come to Cantrell recently with interest rates of 4.5 percent and 4.375 percent, and he emphasized that these kinds of rates can be lowered by “a lot” with just a “quick conversation.”
He recommended that homeowners check their mortgage statements annually at the very least to verify their interest rates, adding that some homeowners couldn’t even tell you what their rate is.
“I think what happens is, a lot of people, they know that’s their payment and they just get used to paying it and they don’t think about it,” he said. “See what interest rate you’re paying, because a lot of times, you’d be surprised. It’s probably a lot higher than you think.”
Even in the case that a person’s interest rate is only reduced by a small percentage, it could still mean saving hundreds of dollars on monthly payments depending on how it’s done, according to Arnold.
“I talked to a client today, (her) rate is dropping only 0.5 percent, but the payment was dropping $400 because they’re re-amortizing it,” said Arnold. “Now most people will say, ‘Why would I want to do that? I only have 20 years left.’ Well these people aren’t going to pay it off in 20 years, they might not be here in 20 years, so their No. 1 concern was cash flow.”
The team at American Family Funding offers out-of-the-box thinking for their clients, and can often bring about results that other mortgage companies in Santa Clarita might not, according to Cantrell.
“At American Family Funding, we’re very good at getting things done for people a lot of times when it can be a little difficult, where it’s not just something you can check all of the boxes on,” he said.
Arnold concluded by talking to the Santa Clarita community at large: “If you ever have any questions, reach out to us.”
Santa Clarita mortgages lender American Family Funding can help you fulfill your dream of home ownership. A highly rated Santa Clarita mortgages lender, American Family Funding maintains a focus on community involvement and a commitment to giving back whenever possible. A friendly mortgage advisor will make the first time homebuyer experience an easy and stress-free experience — even with bad credit or a low down payment. The Santa Clarita home loan officers at American Family Funding also specialize in VA loans, reverse mortgages, refinancing and the STAR Loan Program.