Long Island’s Affordable Financial Services Predicts Slow But Steady Recovery For Mortgage Industry
Posted Under: Mortgage Broker
Long Island’s Affordable Financial Services Predicts Slow But Steady Recovery For Mortgage Industry
After a surge in mortgage applications last week in the U.S., Long Island’s Affordable Financial Services predicts a slow but steady recovery for the mortgage industry, which has been adversely affected by the recent slump in the housing market. During the week ended October 2, the Mortgage Bankers Association’s (MBA) index of applications to purchase a home or refinance a loan increased by 16% to 756.3 from 649.6 in the previous week.
“Lower home prices, falling mortgage rates and tax credits for first-time buyers have all contributed to an increase in home sales. This should, in the long term, contribute to a slow but steady growth in the mortgage and real estate industry,” said Brian Leibowitz, Owner of Affordable Financial Services, based in Long Island, New York.
At the same time, the MBA’s refinancing gauge rose by 18 percent, as the number of applicants seeking to refinance loans rose to 66.3 percent of total applications from 65.3 percent, the highest since May this year. “With mortgage rates falling below 5 percent, many applicants are finding refinancing to be an attractive option. They want to lock in the low rates before they start going back up again,” Mr. Leibowitz said.
According to the MBA, the average rate for a 30-year fixed-rate mortgage, excluding fees, averaged 4.89 percent in the week ended October 2. During the three-week period that mortgage rates have fallen below five percent, refinancing demand went up by 38 percent.
However, the fall in rates may be short-lived with the Federal Reserve’s recent announcement that it would slow down on purchases of mortgage-backed securities and agency debt, which may cause mortgage rates to climb back up again. “Refinancing may be a wise decision for many borrowers right now. At current rates, they can save on nearly $134 on monthly payments on a $200,000, 30-year fixed-rate loan,” Mr. Leibowitz said.
For more information, call 1-888-500-0282 ext.209 or visit http://www.affordable-financialservices.com.
About Affordable Financial Services
Affordable Financial Services is a mortgage broker located in Long Island, New York, that provides loan process, refinance, home purchase, debt consolidation, and home equity loan services. The company provides clients with the knowledge they need to make the right decisions to move forward with the loan process. With its highly knowledgeable and professional mortgage consultants and processing department, Affordable Financial Services gives clients the best loans to fit their needs. As an industry leader, the company takes pride in its vast knowledge of the mortgage industry and the products it offers to borrowers. For more information, visit http://www.affordable-financialservices.com/.
