See the original post:
3 Mortgage Refinance Tips to Help You Save Money

August 2009 Case-Schiller Home Price Change

Data through June 2009, released August 25, 2009 by Standard & Poor’s for its S&P/Case-Shiller Home Price Indices, the leading measure of U.S. home prices, show that the U.S. National Home Price Index improved in the second quarter of 2009.

The chart to the right depicts the annual returns of the U.S. National, the 10-City Composite and the 20-City Composite Home Price Indices. The S&P/Case-Shiller U.S. National Home Price Index – which covers all nine U.S. census divisions – recorded a 14.9% decline in the 2nd quarter of 2009 versus the 2nd quarter of 2008. While still a substantial negative annual rate of return [n.b., the home price slide continues], this is an improvement over the record decline of 19.1% reported in the 1st quarter of the year. The 10-City and 20-City Composites recorded annual declines of 15.1% and 15.4%, respectively. These are also improvements from their recent respective record losses of -19.4% and -19.1%.

In spite of the recent positive data, the overall numbers remain weak, with all metro areas and the two composites posting negative annual returns, and 15 out of the 20 metro areas reporting double digit annual declines. While not alone, Las Vegas and Detroit continue to be two markets that are struggling severely. These are the only two markets that fell in June and saw deterioration in their annual rates of return. Since their relative peaks they have fallen 54.3% and 45.3%, respectively.

Understanding the different refinancing options and knowing how each of these options work are very important. However, none of these details matter at all if the homeowner (or mortgage broker) is unable to find a lender who is willing to offer the rates and terms the homeowner is seeking for a refinance in Fairfax, Virginia.

Choosing a lender or mortgage broker can be a long and difficult process, but there are some ways to make it easier. One simple way to make it easier is to ask for advice from friends or family members who recently refinanced.

Additionally, homeowners can do their own research to determine which lenders are able to offer them the best rate. Finally, the homeowner should determine whether or not the financial considerations should be the governing factor in choosing a lender. Surprisingly enough, in most cases they are not.

Ask for Advice from Friends and Family Members

Friends and family members who recently have refinanced can be a homeowner’s most valuable resource in the process of selecting a lender. These friends and family members are so valuable because they will most likely be willing to offer you a quite candid opinion of the lender or mortgage broker they used. This opinion may be either positive or negative but, in either case, it is useful to the homeowner. If the opinion is negative, the homeowner can remove this lender or broker from their list of lenders to consider. Conversely, if the lender or broker comes highly recommended, the homeowner might consider this refinancing source  more carefully.

Comparison Shop

Homeowners who want to know which lender is offering them the best interest rate and financial terms should do a great deal of comparison shopping. A mortgage broker can assist in this search. The homeowner might  even consider requesting quotes from each and every lender. This should make it perfectly clear which lenders are willing to offer the homeowner more favorable rates.

When comparing quotes, each of the factors should be considered to ensure the quotes are being compared fairly. For example, each quote should be broken down to determine the monthly savings, total savings, etc. All of such statistical data will make it much easier for the homeowner to make a wise decision when the time comes.

Consider More than Finances

Finally, while interest rates, loan terms and other financial matters certainly are all important, none of these are more important than being treated fairly by the lender. For this reason, the homeowner should consider carefully each of their lenders and should determine whether or not they feel as though the lender or mortgage broker is responsive to their needs. For example, a lender or broker who does not return calls in a timely fashion or does not answer questions truthfully and accurately may not be the ideal lender or broker for a homeowner, even if the lender is the one which is offering the most favorable rates.

Additionally, homeowners should trust their instincts regarding their trust in the lender or broker. Some lenders or brokers simply do not seem to know what they are talking about. Homeowners might be inclined to avoid these individuals because they may end up doing more harm than good during the refinancing process. Conversely, some homeowners may be immediately impressed by the honesty and intelligence of another lender or broker. In most cases, the homeowner would likely choose the second source as long as the rates offered by each lender were comparable.

As you are considering a mortgage refinance in Fairfax, Virginia, choose the lender or mortgage broker carefully.

By Joseph Kenny