Many of my clients have been asking why we are recommending hybrids (5/1, 7/1 and 10/1) over fixed rate mortgages (30 year & 15 year fixed loans).
We don’t recommend locking into long term fixed loans when rates are high. Instead we recommend locking into shorter term fixed loans that still provide stable payments, but allow enough time for the next refi boom to occur when rates go lower. The technical name for this period is the recessionary period which seems to occur every 10 to 12 years (but only 5 to 6 years from now). This is when interest rates are the lowest and the right time to lock in the a long term fixed rate or based on how long you intend to keep the property.
If you like to review your options, please complete us at:
Senior Mortgage Advisor
408-377-4123 o 650-465-8957 c
101 Loan – 6020 Hellyer Ave #150, San Jose, CA 95138
CA DRE #01165697 NMLS #121019
- Residential Financing for Purchases and Refinances on 1 to 4 unit properties.
- Reverse Mortgage Financing to include Conforming and Jumbo.
- Commercial & SBA Financing to include Multifamily, Office, Retail and Light Industrial.
- Most 1st Time Buyer Programs including FHA, VA and USDA programs.