how to take advantage of low mortgage interest rates?
My husband and I have lived in our home for 6 years. when we financed we split our loan (1st and 2nd mortgage) to avoid PMI. Three years ago, I completed my education and of course ended up with large student loans. We refinanced our 2nd mortgage…..RESPONSIBLY to help lower the interest of the student loan rates. After looking into the new low interest rates for mortgages, we are discouraged because of the housing market we are now upside down, and unable to take advantage of these incredible rates. I am wondering if anyone could guide us in a way that we would be able to qualify for the rates?????
I have checked on the Student Loan Website because they are in line with inflation and should have gone down this year. I was correct as of 6 March 2009 the rate is 1.5 %. This is clearly cheaper than a mortgage. If you are having problems paying then you should be able to appeal to them. I have never earned enough to pay any of mine off (10 years now) although I work full time and am only now just under the limit, but it does just go on what you earn and not your partner or husband earn so every year you can apply for deferred payments. If you come in under the limit on your own wage you do not have to pay. My argument is leave it till you can afford it – it doesnt count towards anything anyway. I have just had a new mortgage granted but as I am not paying my student loan off they didnt have to take it into account, only what you are actually paying out of your wages.
