BiggerPockets Real Estate Podcast

Should You Refinance Now? + The Greatest HELOC Hack Ever (No/Low Interest)

Oct 23, 2024

Join Caeli Ridge, a mortgage lender specializing in investor loans, as she breaks down the current mortgage landscape. She discusses the recent unexpected rise in mortgage rates and gives advice on whether now is the right time to refinance. Caeli also reveals an ingenious HELOC hack that allows you to minimize interest payments while maximizing liquidity. With her insights on where rates might head next, you’ll gain valuable knowledge to navigate your refinancing and investment strategies.

37:35

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Episode guests

Caeli Ridge

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Episode notes

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Quick takeaways

Refinancing now may benefit those who purchased properties with higher interest rates, despite the current fluctuations in mortgage rates.

Utilizing a HELOC with strategic income deposits can significantly lower interest payments while maintaining access to liquidity for investments.

Deep dives

Current Mortgage Rate Trends

Mortgage rates have shown volatility recently, with initial optimism following a Federal Reserve rate cut that briefly reduced rates to their lowest in 18 months. However, rates have since increased again, now sitting around 6.6%. This fluctuation underscores the complexity of predicting rate movements, which can be influenced by various economic indicators, including job reports and inflation metrics. Investors are left pondering whether now is a suitable time to refinance or wait for further reductions in rates.

Intro

2min

Navigating Mortgage Trends Amidst Fed Rate Changes

8min

Understanding Economic Impacts on Mortgage Rates

4min

Navigating the Refinancing Landscape

4min

Unlocking Home Equity: Options and Strategies

6min

Mastering Cash-Out Refinancing and HELOCs

12min

“Should I refinance my home NOW or wait?” If you have bought a property in the past two years, every day looks like a better and better time to refinance your mortgage. After the Fed’s big rate cut last month, mortgage rates did the unexpected…they went UP. But, even with these slightly inflated rates, now is looking like a good time to refinance if you bought a home with a higher interest rate. So, should you take the risk of waiting for mortgage rates to drop or lock in these substantially lower rates now?

We don’t know what will happen next, so we brought on veteran lender Caeli Ridge to answer some of our more nuanced questions. Caeli summarizes where rates were, where they are today, and where they could be headed. If you want to know what refinance and HELOC (home equity line of credit) rates are right now, stay tuned because she shares exactly what her clients are getting.

What about paying no or low interest on your next HELOC? Caeli shares what may be the greatest HELOC hack we’ve ever heard of—one that gives you lots of liquidity while keeping your interest payments at the absolute rock bottom. You may have never heard of anything like it, so don’t miss this one!

In This Episode We Cover:

Where mortgage rates are right now for refinances and HELOCs

The HELOC hack that greatly minimizes your interest in your next equity line

Caeli’s interest rate forecast and where she thinks rates could be in the near future

When waiting to refinance could cost you, and whether rates may go UP again

The metrics that influence where mortgage rates will go next (what to pay attention to)

And So Much More!

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