Refinance Mortgage Rates in San Francisco

San Francisco-California, FHA Home Loans for Cash out Refinancing

Since 2008 borrowers in general are avoiding to take cash out pulling equity from home. They have limited their spending on credit card. No more are mortgage borrowers caught in the frenzy of borrowing money from home every year.California Mortgage rates have been steadily increasing but QE 4 is what the market is talking about. FEDS will have to start with the 4th round of quantitative easing. When that happens we are likely to see drop in mortgage rates.San Francisco, CA mortgage borrowers shopping for lowest mortgage rates need to know when the rates come down.

Economic crisis of some kind or geo political situation like the one we are seeing in North Korea. All these major developments in the market bring the mortgage rates down.

If however you are caught in debt trap and you have no other way to come out except to pull money out of home.  FHA allows you to pull out 85% of the total value of the home as cash out. Besides the money you borrow, the interest is tax deductible.Even your monthly mortgage insurance is allowed as deduction on your tax. FHA mortgage rates in general are lower than conventional mortgage.The industry was hoping that the new administration would bring down monthly mortgage insurance premium easing for borrowers to save money on mortgage but that has not happened.

The advantage of an FHA mortgage was truly understood by California mortgage borrowers in 2008 when the homes were underwater. FHA never required any new appraisal and whatever home value was recorded in its books during the last refinance was considered as its current value despite the fact that home values were completely upside down. FHA borrowers since 2008 have refinanced their home several times and now have amazingly low rates.Those looking to get their mortgage insurance waived however should now look towards conventional mortgage as their answer as with FHA mortgage. It is almost impossible as the new rules make it mandatory for the borrowers to continue paying mortgage insurance as long as they continue with FHA that is even if the loan amount may be equal to or less than 80% of the value of the home.

For more information visit www.affordable-payment.com or call 323-705-3191 if you are a California Mortgage borrower or If Texas Mortgage Borrower call 713-463-5181 EXT 154. You can even e mail at roger@affordable-payment.com

Article by Roger Shanker