It is a time that interest rates on mortgages have plunged in a rather significant way. They are pretty tempting times the homeowners who have to battle with the decision on whether or not to take the opportune time to refinance mortgages. Analysts have been in the frontline, reminding homeowners to take advantage of the current historic lows.
It would indeed be a great idea to seize the moment, but the problem is that the COVID-19 pandemic has battered most of the citizens financially. Job losses have become quite common as the major drivers of the economy grind to a halt. It is a tight situation that has even called for government intervention to cushion the suffering citizens. Those that pass the qualifications will receive stimulus checks to help them move ahead with their lives. Some of the people have already received the money in their accounts.
The government is giving freedom to the citizens to decide what they want to do with the money. For those that have been straining financially, it is a great time to buy the supplies they need. For those that have enough to eat, it would be a great idea to save the stimulus money. However, with all that freedom, some people may consider using the money to refinance the mortgages.
Homeowners taking advantage of this opportunity will enjoy some wide-ranging benefits. For instance, they could be able to make huge savings in terms of interest. It is also a time where one could pay off his/her mortgage much faster. The low monthly payments don’t happen every day, more reason as to why one needs to be quick at seizing the opportunity.
A senior VP working with Ayco, known as Scott Solomon, has spoken concerning the matter. Ayco is under the Goldman Sachs Company, and it has, over the years, focused on sponsoring some wide-ranging financial counseling programs. Solomon sees the current rate environment as one of the best times for any homeowner to re-think the consolidation of all kinds of debts or refinancing. Homeowners have the choice to abandon the 30-year mortgages and instead settle for a shorter 15-year mortgage. Such a mortgage is associated with some lower interest rates, and thus you pay less.