15-year, fixed-rate mortgages, a popular option for refinancing, dipped. Refinancing averaged 46 percent of all mortgage applications. Fixed 30-year mortgage rates averaged 5.58 percent last week, excluding fees, down 6 basis points from 5.64 percent the previous week.
Consumers opted for mortgage refinancing to lower monthly payments while reducing current interest rates. Many opted to get cash back. This option can add a significant financial burden if the borrower becomes strapped with more debt. Borrowers are encouraged to reduce the risks associated with increased debt such as losing their homes.
Foreclosures have increased 43% largely due to taking on too much credit card and mortgage-related debt. For those seeking to avoid or stop foreclosure The Mortgage Loan Search Financial Network provides detailed information and access to resources than can help. Read the 6 Steps to Stopping Foreclosure at http://www.bcpl.net/~ibcnet/