It’s About Time To Refinance That 5/1 or 3/1 ARM

Last week, ABC World News ran a story on mortgages. In the story, they cited some very interesting statistics:

• 25% of mortgages are ARM's
• In 2006 there are $500 Billion in mortgages which will experience their adjustment period
• A large number of these mortgages will jump somewhere between 2 and 5 percent this year

Are you among those whose mortgage will adjust this year? If so, now is the perfect time to refinance into a 30 year fixed rate loan. Rates have come back down to the levels we were seeing back in March and April of this year. It's unclear where rates are headed over the next 12-24 months due to uncertainty on the inflation front.

Don't wait for rates to continue to fall, refinance now using a no closing cost refinance and lock in what is a very good rate - historically speaking. Then, if rates continue to drop, you can refinance again at no cost and lock in the better rate. Think of this as an adjustable rate mortgage that can never go up.