Buying a home is the biggest purchase most people will ever make – but most homeowners don’t actually know what their current mortgage rate is.
According to Bankrate’s recent survey 27% of homeowners don’t know the interest rate on their current home.
Younger homeowners – those aged 29 to 39 – were the most likely to not know where their mortgage rate stood, at 34%. In comparison, 23% of homeowners between the ages of 56 and 74 did not know their mortgage rate.
According to Freddie Mac, the 30-year fixed-rate mortgage rate landed at 3.47% last week – with mortgage rates this low, homeowners could be missing out on a great opportunity to refinance and lower their payments.
By refinancing, homeowners could save on average of $268 per month!
Bankrate’s Senior Economist Analyst, Mark Hamrick, explains the importance of understanding your mortgage rate, “It is concerning that more than a quarter of mortgage borrowers don’t know the rate of interest they’re paying on their existing mortgage. Given the decline in mortgage rates we’ve seen over the past year, many qualified homeowners would stand to benefit, or save, by refinancing.”
For tips on shopping around for a mortgage, check out AmeriTitle’s guide here.