Americans choose to refinance their mortgages for many reasons

Americans choose to refinance their mortgages for many reasons

Americans choose to refinance their mortgages for many reasons
Homeowners in the U.S. are refinancing their homes at a greater rate than they have over the past couple of years. This is driven primarily by such favorable conditions for borrowers who can refinance their existing mortgages in to an ultra-low fixed rate. But a new survey conducted by LendingTree has found that the motivators for borrowers to refinance vary quite a bit.

Homeowners state that they made the decision to refinance not just to lock in a lower rate but also to attempt to pay off their mortgage faster, tap their equity or change an adjustable-rate mortgaged in to a fixed-rate one.

In San Diego, nearly half of refinancers did it to lower their monthly mortgage payment while another 16 percent were looking for a way to pay off their home loan faster.

Those looking to refinance will find conventional conforming no-point 30-year fixed mortgage rates are averaging 2.875 percent and 15-year rates are near 2.25 percent.

Do you have a question for Real Estate & Mortgage Analyst Mehran Aram? Submit your queries about a home purchase, refinance, or reverse mortgage via Aramco.biz, social media (#AramcoReport), or over the phone at (866) 381-8888 and your questions may be featured in an upcoming article.