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Fall presents a prime opportunity for homeowners and prospective buyers to explore mortgage refinancing or purchasing a new home. Whether you're looking to lower your mortgage payments or buy your dream home, Evergreen Home Loans is here to help you capitalize on falling mortgage rates.
Why Fall is a Great Time to Buy a Home or Refinance Your Mortgage
- Lower Mortgage Interest Rates
The housing market has seen high mortgage rates throughout the year, but things are starting to shift. Recent economic factors, including a recent Federal Reserve rate cut, have set the stage for lower mortgage rates. These declining rates mean more affordable monthly payments for homeowners looking to refinance and buyers ready to make a purchase.
As Lisa Sturtevant, Chief Economist at Bright MLS, notes:
“A drop in the cost of borrowing will help fuel more homebuyer demand . . . Falling rates will also bring more sellers into the market.”
If you’ve been waiting for the right time to buy a home or refinance your mortgage, now is the time to take action.
- Increased Buyer Demand and Seller Motivation
As mortgage rates fall, buyer demand naturally increases. According to the Mortgage Bankers Association (MBA), the number of mortgage applications is rising as buyers re-enter the market. Additionally, the National Association of Realtors (NAR) reported a boost in home sales in July after months of decline. This uptick is encouraging news whether you're a buyer or thinking about selling and buying a new home.
More buyers mean more competition, which can lead to higher offers for sellers. This creates the perfect opportunity for homeowners ready to list their properties. According to Edward Seiler, AVP of Housing Economics at MBA:
“MBA is expecting that slower home-price appreciation, coupled with lower rates, will ease affordability constraints and lead to increased activity in the housing market.”
If you’ve been hesitant to list your house because you’re worried about a lack of buyers, this increase in demand signals that it might be time to talk to a real estate agent.
- End-of-Year Financial Planning
Fall is a perfect time for financial planning. Refinancing your mortgage before the holidays can lower your monthly payments, free up cash for other expenses, or even allow you to consolidate debt. If you’re considering purchasing a new home, locking in a lower interest rate now can help you save thousands over the life of your loan.
- Potential for Faster Closings
With the summer rush over, fall tends to be a quieter time in the real estate market. This can mean faster closings and fewer delays, making it an excellent time to either buy or refinance.
Buying or Refinancing Options This Fall
At Evergreen Home Loans, we offer a range of refinancing and homebuying solutions to meet your unique needs. Here are some options to consider:
- For Homebuyers: Get Pre-Approved for a Mortgage
If you’re in the market for a new home, getting pre-approved for a mortgage is an essential first step. It not only helps you understand your budget, but also gives you a competitive edge, making your offer more attractive to sellers. With Evergreen's Security Plus program, we take this a step further by doing all the work up-front to provide a guaranteed financing commitment with minimal conditions.
Because we're confident in our program, we even guarantee the loan commitment or we’ll pay the seller $5,000*. This added assurance strengthens your offer, making it easier for sellers to say YES. The result? A faster closing process and an offer that sellers trust.
- For Homeowners: Explore Rate-and-Term or Cash-Out Refinancing
- Rate-and-Term Refinance: Lower your interest rate or change the length of your loan term to reduce your monthly payments or pay off your mortgage faster.
- Cash-Out Refinance: Borrow against your home’s equity to access funds for home renovations, debt consolidation, or other major expenses.
Preparing for a Fall Purchase or Refinance
Whether you’re buying or refinancing, here are a few steps to ensure a smooth process:
- Check Your Credit: A higher credit score can help you secure a better mortgage interest rate. Review your credit report and resolve any issues before applying for a mortgage or refinance.
- Determine Your Financial Goals: Are you looking to reduce your monthly payment, shorten your loan term, or access extra cash for a big project? Knowing your goals will help you choose the right option.
- Review Your Budget: Take a close look at your finances to ensure you’re prepared for the next step, whether it’s buying a home or refinancing your mortgage.
Get Started on Your Homebuying or Refinancing Journey Today
The recent decline in mortgage rates is already encouraging more buyers to enter the market, and experts predict this trend will continue. Whether you’re ready to buy your dream home or refinance your current mortgage, Evergreen Home Loans can help you take advantage of the savings and opportunities this fall brings.
Contact your local Loan Officer today to explore your options and start saving on your mortgage this season!
