If you’re struggling financially to make that monthly mortgage payment, now might be the time to consider refinancing. Homeowners are enjoying mortgages that have lower interest rates than ever before. Literally. 15-year mortgages are being offered at rates of 2.83%. 30-year mortgages are going for rates of 3.53%. Not only are these rates extremely low, but they’re also quite far apart from one another. Back in 2007, reports Market Watch, the difference between the two rates was .31%.
Why New Mortgages?
Financially-stable homeowners are switching over to 15-year mortgages in order to get the lower interest rate. However, many homeowners are opting to stay with their 30-year rates, but choosing to pay them off quicker. For homeowners who are struggling to stay on top of their mortgage altogether, there are still other options.
If you’re concerned about facing foreclosure, you should know that there are other options available to you. Many homeowners who know they can’t handle their mortgages think that foreclosure is their fate. But, you might be surprised to know that you can actually escape the foreclosure process through bankruptcy! Florida bankruptcy cases are becoming increasingly common simply to help homeowners avoid the nasty process of foreclosure.
Filing for bankruptcy can prevent foreclosure. Of course, it isn’t permanent. But, if you file for Chapter 13 (a form of debt restructuring), bankruptcy may give you the time you need to get back up on your feet and on top of your mortgage!
Whether you’re interested in getting a new rate or whether you’re concerned about foreclosure, you need to know about new rates and the role the bankruptcy process plays in the foreclosure game!