Freddie Mac’s surprising facts about refinancing
As mortgage interest rates fell throughout 2020, 10.1 percent of refinances were “repeat refinances,” according to research from Freddie Mac. In other words, the loans were refinanced two or more times in a 12-month period. In 2019, 7.8 percent of refinances were repeats, while 16.6 were repeats in 2003.
On average, consumers who refinanced a 30-year fixed rate mortgage into another 30-year fixed rate mortgage saved more than $2,800 in annual mortgage payments.
Also, during the first quarter of 2020, about 24 percent of borrowers shortened the term of their loans. About 98 percent of refinancing borrowers chose fixed-rate loans. For more information, go to: bit.ly/FreddieMac_Refinance