California mortgage rate reset

Is your California mortgage rate about to reset after a 5, 7 or 10 year fixed rate period?  If so don’t worry; thousands of Californians are in the same situation every year.  Adjustable rate mortgages are a mortgage product in which the rate adjusts or “resets” after a fixed period time.  That’s different from a fixed rate mortgage which has a fixed rate during the entire life of the loan.  As you know you obtained a break on the rate for going with an adjustable California mortgage rate when you purchased or refinanced your home.  But now you’re facing a mortgage rate reset; so here are some options.

When you obtained your current mortgage, California mortgage rates were probably super attractive considering the 30 year low we’ve seen since 2008.  But now you might be looking at a reset so does that mean you need to refinance?  Nope; you actually might not see a bump in rate at all.  The key thing with a California mortgage rateCalifornia reset it to know your margin and your index.  Add those two together and that will be your reset rate for the next year (if you’re rate adjusts every year).  Many homeowners chose to stick with the mortgage they have for many reasons especially if the new mortgage rate is attractive.

Next option is to do a California refinance with a new fixed rate mortgage or a new adjustable rate mortgage.  Make sure you obtain 2-4 quotes and don’t forget to contact JB Mortgage Capital, Inc. at 1-800-550-5538 for a no obligation and no cost quote.  Another option is to sell the property if you are looking to upgrade to a new home or downsize to something smaller.