Low Interest Rates Have Green Country Homeowners Rushing To Refinance

Monday, September 27th 2010, 8:52 pm
By: News On 6

By Chris Wright, The News On 6

TULSA, OKLAHOMA -- Green Country mortgage brokers say historically low interest rates have left them swamped with applicants.

Rates continue to hover around four percent, and some experts expect them to go ever lower. As a result, brokers say they're getting an almost overwhelming amount of business.

Kelly Smakal moved into her home more than a decade ago. She and her husband have raised two children there and recently jumped on the refinancing bandwagon.

"Everyone I know has refinanced. Pretty much, literally. All my neighbors, I think all our family members," Smakal said. "Everyone has refinanced, so I we are finally refinancing."

Cass Frahler with Primary Residential Mortgage is handling the Smakal's refinancing, and says there's no shortage of other applicants.

"It's near free money right now," he said.

He's found himself now working nights and weekends just to keep up.

"Yeah we are very swamped," Frahler said. "We are overwhelmed with mortgages right now, which is an outstanding position to be in."

Interest rates are now two to three points lower than they were only a few years ago, and experts are not sure exactly when they will go back up. It's not expected to happen anytime soon and as long as rates remain low, Frahler says the interest in refinancing will continue to snowball.

"The interest rates are phenomenal right now. We have 15 year rates that people haven't seen forever. That I have never seen in a lifetime," he said.

The Smakal's refinancing will be finished soon. Since they don't plan on moving anytime soon, say they don't mind following their neighbors' lead.

"It just seems silly to pay more money when you don't have to," Kelly Smakal said.

Not everyone is able to take advantage. Despite the record-low rates, new data shows that a third of Americans still can't qualify for a mortgage.