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Take Advantage of Dropping Rates

As interest rates have dropped to near-historic lows, it’s clear that now may be the right time to buy a home or refinance your mortgage. According to Freddie Mac, the average interest rate on a 30-year fixed-rate mortgage is 3.60 percent as of August 8, 2019, down from 4.59 percent at the same time last year, and 4.94 percent from November 2018.1
If you’re looking to take advantage of today’s lower mortgage rates, keep the following in mind:

Buying a Home

Buying power.  When interest rates drop, the true impact on a home buyer may be their buying power.  While home values may not change, the cost to obtain a home goes down.  This means that qualified buyers may be able to purchase a higher priced home than they realize.

Down Payment Options. If interest rates look attractive, but the down payment is keeping you from moving forward with the home buying process, remember that low-and-no down payments options may be available such as: conventional loans with 3 percent down, FHA loans with 3.5 percent down, and even USDA and VA loans with no money down.2

Refinancing a Mortgage

Refinancing to a mortgage with a lower interest rate can save you money, and it may also help you pay off your home faster or allow you to access your home’s equity.  Try to remember these tips:
Don’t delay. Interest rates change daily, so if you’ve been wondering if refinancing your mortgage to a lower rate will benefit you, don’t hesitate to contact your mortgage consultant. They will be able to compare your existing mortgage to potential loan options, and they can analyze the costs of each so you can make an informed decision.
Be ready. If you decide to proceed with a refinance and your lender asks for information, don’t put it off. Have your documentation and financial information ready so that you can proceed in a timely manner. The last thing you want to do is plan to refinance your home when you’re going to be out of town on vacation, as this will most likely keep you from being able to get everything in place before you’re out of pocket.
If you’re unsure whether now is the right time for you to buy a home or refinance, contact a mortgage consultant near you.  We will walk you through your home financing choices so that you can determine the right option for you.


1. Information is based on the Freddie Mac Primary Mortgage Market Survey® at

2. Low down payment options may not be the best option for all borrowers. Not all borrowers will qualify.  Consult your mortgage consultant to review potential loan scenarios and financing options to determine the home loan that is right for you.

All first mortgage products are provided by Prosperity Home Mortgage, LLC dba FM Lending Services. (877) 275-1762. Prosperity Home Mortgage, LLC products may not be available in all areas. Not all borrowers will qualify. Licensed by the NJ Department of Banking and Insurance. Licensed by the Delaware State Bank Commissioner.  Also licensed in AL, AR, AZ, CO, CT, DC, FL, GA, IL, IN, KS, KY, LA, MA, MD, MI, MN, MO, MS, MT, NC, ND, NE, NH, OH, OK, OR, PA, RI, SC, SD, TN, TX, VA, WA, WI, WV and WY.

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©2019 Prosperity Home Mortgage, LLC dba FM Lending Services. All Rights Reserved.

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