Recently a single woman, Jackie, who is turning 60 years old this year, was referred to me by her financial adviser to explore the possibility of refinancing Jackie’s current 5.25% fixed interest rate. Jackie has perfect credit, a sizable investment accounts, and lots of equity in her home. For years Jackie repeatedly applied for a refinance to lower her monthly mortgage payment only to be turned down because her reported income was too low—even with interest rates below 4% her house payment debt ratio was over 50%. I met with Jackie, completed her mortgage application and sent her paperwork to my staff with the instructions to incrementally lower the proposed refinance loan amount until we got a loan approval. Eureka! At just a $17,000 loan amount reduction we got an approval on a 3.75% interest 30 year fixed rate loan that lowered her monthly payment $360 per month—25% annual return on investment.
If you or someone you care about are being kept out in the cold looking in at everyone else successfully applying for a historically low mortgage interest rate, then, call me for a no obligation over the phone mortgage consultation—a brief telephone conversation that could kindle a sizable monthly mortgage payment savings.