Headlines - Doom sells
14/02/10 22:10 Filed in: Real Estate
The headline in today’s Sunday Times Money section,
“Property drifts towards years of no
growth”,
sounds like an article about house prices. Then you
read the sub-headline. “As prices are
poised for a double dip, Elizabeth Coleman looks at
whether the time is ripe for
remortgaging”
We focus of the article is when is the right time to refinance a property. The headline is there to grab attention but not to serve much of a purpose beyond that. So, let’s move on past the headline and look into the advice.
“While house prices were likely to falter again in 2011, values would rise 20% by 2013, it said.”
“Homeowners are being urged to take advantage of the “remortgage window” brought about by a combination of lower mortgage rates and higher house prices, which has restored some of the housing equity wiped out in the slump.”
For the average homeowner it might make sense to refinance when the value of the property is up and the wholesale funding market is a bit more liquid. If there is going to be a fall in house values then it could be a good time to refinance. Or it could be a bad idea if the next loan is not much better than the present loan when you really look at all of the costs. Fees are high now when it comes to refinancing.
We focus of the article is when is the right time to refinance a property. The headline is there to grab attention but not to serve much of a purpose beyond that. So, let’s move on past the headline and look into the advice.
“While house prices were likely to falter again in 2011, values would rise 20% by 2013, it said.”
“Homeowners are being urged to take advantage of the “remortgage window” brought about by a combination of lower mortgage rates and higher house prices, which has restored some of the housing equity wiped out in the slump.”
For the average homeowner it might make sense to refinance when the value of the property is up and the wholesale funding market is a bit more liquid. If there is going to be a fall in house values then it could be a good time to refinance. Or it could be a bad idea if the next loan is not much better than the present loan when you really look at all of the costs. Fees are high now when it comes to refinancing.
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