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Low Rate 15 Year Mortgages Popular Refinancing Choice for Some

According to recent reports, 26% of homeowners who refinanced their homes during the first half of this year chose to do so using a 15-year fixed rate mortgage (Source: Yahoo). Comparatively, 18.5% made this same choice in 2009 and only 9.4% did in 2007.

So what is the reason behind this noticeable shift? One factor that may be contributing to this movement toward shorter term home loans is the low mortgage rates witnessed across the board. This week, the national average annual percentage rate on 30 year mortgages dropped once again to just 4.58% according to Informa Research Services. Similarly, the 15 year mortgage national average fell to just 4.08% this week.

Usually, a shorter loan term means an increased monthly payment. However, paired with a low rate, this can actually equal a payment similar or, in some cases, lower than a homeowner's current monthly payment. Moreover, in addition to paying your house off faster, you will also pay much less interest over the entire term of the loan.

To find the best deal on mortgage products, look online to search for low mortgage rates. Even though the current national average is already low, because it is an average, this indicates that there are numerous rates being offered both above and below this level. Use online rate tables to find the lowest mortgage rates.

Refinance at Today's Low Rates!