Homeowners Cutting Years Off Mortgage with Early Payoff

A Home Equity Loan (HEL) lets you access a portion of your home’s equity as a one-time lump sum. It is a second mortgage and comes with a fixed interest rate. That means your monthly payment stays the same while you use the funds toward the things that matter most to you. Here are a few ways people put a HEL to work: ✔️ Plan renovations with a set budget. A fixed monthly payment makes it easier to map out costs for upgrades or improvements. ✔️ Handle major expenses with more control. A HEL can help cover things like medical bills, education costs, or repairs without turning to high-interest credit. ✔️ Combine high-interest debt into one payment. Many homeowners use a HEL to bring multiple balances into a single monthly payment they can plan around. https://bit.ly/4ic3mM3

Rocket Pro is redefining what partnership means in mortgage lending. Through its Broker Manifesto and Partner Promises, the company is building a model based on transparency, accountability, and shared success, not competition. Read the full article here: https://lnkd.in/gFRjyiJQ

Financial questions don’t always happen during business hours. Tomorrow, in recognition of National Financial Awareness Day, Rocket is opening up the conversation on Reddit with a live AMA focused on financial stress, debt and the options homeowners may have. Join Lowell Fernander MD,MBA,FACP and our Triple Crown Banker, Matt Bollitier to ask questions, learn more and hear directly from people who know the space. Join the conversation: https://lnkd.in/g3jgWDq3

At Rocket, “can’t” doesn’t work here. Which is exactly why you should. Go behind the scenes with the Rocket tech and product leaders helping shape the future of homeownership. This week, Executive Vice President of Engineering Papanii Okai shares what it takes to build technology with real impact and why thinking differently is part of the process. “What we’re trying to do here is going to make people really think outside of the box.”

For the past couple of years, the housing market has been a touchy subject for many Americans. As both mortgage rates and home prices remained elevated far above pandemic levels, many lost hope in the American dream of homeownership, and younger generations gave up on the idea altogether. But Varun Krishna, CEO of Rocket Companies, said this week there are signs Americans are moving off the sidelines and vying for homeownership. “The way I would describe this last quarter is very simple: It’s a tale of two cities,” Krishna said. “When you look at the past quarter, mortgage rates dropped to the lowest that they’ve been in the past three years, and Rocket was right there to capitalize.” Read more: https://bit.ly/4tkI3xR

Housing momentum is building. Existing home sales are up 4.1% year-over-year, and mortgage rates have reached their lowest levels in more than a year — creating renewed energy across the housing market. That combination is good news for both homebuyers and existing homeowners. Lower rates are helping more families move from searching to buying, while also unlocking opportunities for homeowners to refinance and strengthen their financial position. At Rocket, we’re watching this momentum closely and are excited to help more clients save money through a refinance or new home purchase. 

The bond market seems to be in the news daily. So here's a look back at the 10-year Treasury yield over the last 12 months. For an overly simplistic method, you can generally take the 10-year Treasury yield and add about 2% to get the range of a 30-year fixed mortgage. That puts today's mortgage rates in the 6.75% to 6.875% range. While that might sound like bad news, it is creating opportunity for new homebuyers due to less competition and more negotiating power. The Redfin team shared their recent data on what this means to house hunters. I'll put that link in the comments if you want to click deeper. Rocket