Many homeowners have been taking advantage of the low mortgage interest rates that are being experienced at the present time. Homeowners that have refinanced to a 30-year fixed rate mortgage have been able, in some cases, to not only get a lower monthly mortgage rate but also a lower monthly mortgage payment as well.
At a time when many homeowners are still struggling financially and are looking for ways to make ends meet, lowering their monthly mortgage payment is going to be greatly beneficial for anyone who may be on an unstable financial ground. Unemployment and underemployment have caused troubles for homeowners as many household incomes have either seen a significant decrease or have been cut in half.
It’s for this reason that many people have been looking for a 30-year fixed rate mortgage so that they can get this lower monthly mortgage payment. However, the interest rate and monthly mortgage payment a homeowner gets when they refinance is heavily dependent upon their credit score and the amount of equity they have built up in their home.
Refinancing to a 30-year fixed rate mortgage is not a guarantee for a lower monthly mortgage payment. Yet, homeowners are still being advised to contact their lender if they are having trouble making their home loan payment. If refinancing is not an option there may be other assistance programs that can help homeowners avoid foreclosure and make their mortgage payment more affordable.