Mortgage interest rates are dropping and many home owners who’ve purchased in the last two years are starting to get inundated with solicitations to refinance.

It’s wonderful to see mortgage rates finally starting to come down and at Indigo Mortgage, we know that the last few years, those who took out a new mortgage loan are anxious to refinance to a lower interest rate. Borrowers will be inundated with solicitations to refinance from many, many mortgage companies.

But we urge borrowers to be very careful on offers that you get, even if its from the mortgage company you are currently with.

Last week, we did a refinance for a borrower who is with one of those big name lenders. They offered him a low interest rate BUT they wanted $10,000 in buy down fees just to get that rate. Over the loan’s term, the refi wasn’t going to be worth it to him.

We were able to offer him the same rate with about a quarter of the fees that the big name lender tried to charge the borrower. When the borrower told them about our much better offer, that lender then offered to match what we gave them. He told them to go fly a kite because they would have let him go to closing with that crazy offer if he hadn’t shopped his mortgage around and received a quote from Indigo Mortgage.

So this is why we say, be very careful before you take an offer. The predatory lenders will be out in force, knowing that many homeowners want to refinance quickly as the rates drop. Shop that mortgage around and be sure to include your trusted local lender, Indigo Mortgage. We’ve helped New Mexico homeowners find the right mortgage for their situation since 2003!