Low Mortgate Rates but Few Borrowers

Mortgage rates are close to an all time low yet borrowers are reluctant to take advantage of these historic rates. Even with rates averaging 4.8% for a 30 yr mortgage, refinance applications dropped for the first time in this month.

There are a variety or reasons affecting this mortgage market. Many homeowners are may be just tired of this refinance roller coaster. Homeowners have already refinanced recently and although these rates are attractive and could potentially save them money over the long term don't want to concede that they may have spent money for no reason if they refinance again. Some homeowners are underwater and unable to refinance or have damaged credit due to the downturn in the economy. Whatever the reason, borrower should consider numbers before making a decision to refinance. If they are able to save money by refinancing they should contact their mortgage professional to review their options. It's unlikely that these rates will be this low for long and its probably just as unlikely that we'll be seeing these rates again any time in the near future.