By: Ralph Dibugnara on January 30, 2025 By Erik J. Martin | Updated July 8, 2025 | Reviewed by Aleksandra Kadzielawski Published on 🔗https://themortgagereports.com/54100/how-soon-can-i-refinance-after-i-close-on-my-mortgage Refinancing your mortgage doesn’t always require a long wait. Depending on the type of loan you have—and sometimes the lender—it may be possible to refinance immediately after closing, or in as little as six months. The article provides a comprehensive breakdown of timelines, eligibility requirements, and strategic reasons to refinance, including lowering monthly payments or accessing home equity. What the Experts Say Ralph DiBugnara, President of Home Qualified, encourages homeowners to look beyond just interest rates: “What’s most important to focus on is, what are the monthly and lifetime savings of the loan? What are the costs? And how long will it take you to recover those costs with the savings you’ll earn?” This underscores the importance of doing a cost-benefit analysis before jumping into a refinance. It’s not just about qualifying—it’s about making the refinance work for you over time. Minimum Wait Times by Loan Type Conventional Loan: Immediately (but often 6 months if using the same lender) FHA Loan: 6–12 months depending on refinance type VA Loan: 210 days or 6 on-time payments, whichever is longer USDA Loan: Usually 12 months of on-time payments Jumbo Loan: No federal rules—wait depends on lender policies Top Reasons to Refinance Lower Interest Rate Reduce your monthly mortgage payment and save on total interest costs over time. Shorten Loan Term Move from a 30-year to a 15- or 20-year loan to pay off your home faster and pay less interest overall. Switch to Fixed Rate If you have an adjustable-rate mortgage (ARM), switching to a fixed-rate loan locks in stability and predictability. Tap into Home Equity Use a cash-out refinance to fund home improvements, consolidate debt, or cover large expenses like college tuition. Remove Mortgage Insurance FHA borrowers can eliminate mortgage insurance premiums (MIP) by refinancing into a conventional loan—often once they’ve built 20% equity. Manage Divorce Settlements Refinancing allows one partner to remove the other's name from the mortgage, ensuring clean ownership during a property settlement. Refinancing Costs & Considerations Closing Costs: Usually 2%–5% of the loan amount Credit Score: Impacts approval and interest rate offers Loan Term Trade-Offs: Longer terms lower your payment but increase interest paid over time Prepayment Penalties: Check your current mortgage terms Impact on Equity: Refinancing resets your loan, which may delay equity growth if you’re extending the term When Should You Refinance? The right time is a balance between market trends and personal financial readiness: Have interest rates dropped since your last loan? Has your credit improved or your home value increased? Do you have a clear goal—lower payment, faster payoff, access to cash? If so, a refinance could offer long-term financial benefits. Use online calculators to find your break-even point—the moment your refinance savings outweigh the costs. How to Refinance – Step-by-Step Prepare Documents (pay stubs, W-2s, current mortgage statements) Compare Lenders (get quotes from at least 3) Apply for a Loan (be ready to explain your refinance goals) Complete Underwriting (may involve a home appraisal) Close the New Loan (review final terms, sign documents) Final Insight If you bought your home just a few months ago, refinancing might already be on the table. And with the right timing and financial strategy, it can save you thousands over the life of the loan. Just make sure you’re not focusing solely on a shiny interest rate—analyze the full cost and long-term savings, just as Ralph DiBugnara advises.

By Paul Centopani June 26, 2025 By: Ralph Dibugnara June 30, 2025 Mortgage rate forecast for next week (June 30-July 4) https://themortgagereports.com/32667/mortgage-rates-forecast-fha-va-usda-conventional Mortgage rates decreased for the fourth consecutive week. The average 30-year fixed rate mortgage (FRM) declined to 6.77% on June 26 from 6.81% on June 18, according to Freddie Mac. It marks 23 straight weeks below 7% for the average 30-year FRM. Mortgage rates in 2025 have been experiencing a subtle but important shift. After climbing sharply in 2023 due to aggressive Federal Reserve rate hikes aimed at taming inflation, rates have now started to show signs of stabilizing and even easing slightly. As of late June 2025, the average 30-year fixed mortgage rate stood at about 6.77%, marking four straight weeks of decline and maintaining a level below 7% for over five months. This sustained period below 7% is significant given that mortgage rates had surged well above that in previous years. Why is this happening? The Federal Reserve is walking a tightrope: Inflation has cooled down somewhat, but the Fed is cautious because tariffs and geopolitical events (like tensions in the Middle East) could push inflation back up. The Fed’s officials, including Chairman Jerome Powell, have been in a “wait and see” mode—hesitant to cut rates until there’s clearer evidence tariffs aren’t causing inflationary pressures. The labor market has shown mixed signals, with some revisions suggesting it’s not as strong as initially thought, which could eventually pressure the Fed to ease rates to stimulate the economy. The global economy also faces uncertainty from trade tensions and geopolitical conflicts, which traditionally tend to lower interest rates as investors seek safer assets. What about July 2025? Experts overwhelmingly predict mortgage rates will mostly moderate rather than dramatically rise or fall during July. The mix of cautious Fed policy, persistent inflation concerns, and geopolitical risk means rates will likely stay in a narrow band. Ralph DiBugnara’s Perspective: Ralph DiBugnara, founder at Home Qualified, describes the market as “a predicament going into July,” highlighting several important points: Signs Point to Potential Rate Cuts: Historically, threats of war or geopolitical instability tend to push mortgage rates lower because investors flock to safe assets like Treasury bonds, which pulls down yields and consequently mortgage rates. Fed’s Pause on Rate Cuts: However, the Fed remains cautious and has paused rate cuts, largely because it is uncertain about the inflationary impact of tariffs and is monitoring economic data before making moves. Closer to Lower Rates Compared to Earlier: DiBugnara believes we are closer to seeing lower mortgage rates now than at the start of the year, suggesting a gradual easing environment ahead, rather than sudden shifts. Specific Rate Predictions: He forecasts the average 30-year fixed mortgage rate in July to be around 6.875%, with the 15-year fixed rate at about 6.375%. These levels suggest a slight improvement over the high rates seen previously but still reflect a relatively high-rate environment compared to the ultra-low rates seen in 2020-2021. Additional Expert Views & Trends Other economists and mortgage experts echo a similar outlook of rates remaining mostly flat or slightly declining, with the possibility of “rollercoaster” ups and downs due to tariff expirations, Fed meetings, and economic data releases. Most forecasts from major housing authorities put Q3 2025 rates in the 6.4% to 6.8% range, confirming a mild but steady downward trend. The “new normal” mortgage rate is considered to be around 7%, according to some experts, with the ultra-low rates of the pandemic era seen as exceptional outliers. What Should Borrowers Do? Shop Around: Rates can vary widely between lenders based on credit score, down payment, and financial health. Be Prepared: Mortgage market volatility means borrowers should get pre-approved and act quickly if they find a good deal. Manage Expectations: Rates may not drop drastically soon but are expected to gradually improve throughout the year. Understand Loan Types: Different loan programs (VA, FHA, USDA, jumbo) offer varied rates and benefits depending on the borrower’s profile. How to shop for interest rates Rate shopping doesn’t just mean looking at the lowest rates advertised online because those aren’t available to everyone. Typically, those are offered to borrowers with great credit who can put a down payment of 20% or more. The rate lenders actually offer depends on: • Your credit score and credit history • Your personal finances • Your down payment (if buying a home) • Your home equity (if refinancing) • Your loan-to-value ratio (LTV) • Your debt-to-income ratio (DTI) To figure out what rate a lender can offer you based on those factors, you have to fill out a loan application. Lenders will check your credit and verify your income and debts, then give you a ‘real’ rate quote based on your financial situation. You should get three to five of these quotes at a minimum, then compare them to find the best offer. Look for the lowest rate, but also pay attention to your annual percentage rate (APR), estimated closing costs, and ‘discount points’ — extra fees charged upfront to lower your rate. Summary Takeaway Mortgage rates in July 2025 are expected to moderate, possibly edge down slightly, but will remain historically elevated compared to pandemic lows. The Federal Reserve’s cautious stance, ongoing inflation concerns, and geopolitical risks are keeping rates relatively stable, with the potential for modest declines if economic conditions allow. Ralph's insight encapsulates the uncertainty and cautious optimism: rates might soften soon, but for now, it’s a “wait and see” environment with moderate levels around 6.875% for 30-year fixed mortgages.

By: Ralph Dibugnara June 5, 2025 As the real estate market continues to shift in 2025, one trend stands out: the sharp decline in the purchase of vacation homes. According to a recent analysis shared in a YouTube video, the number of mortgages taken out on second homes has reached its lowest point in 20 years. This downturn in activity presents a potential goldmine for buyers who know where to look. Why the Drop in Vacation Home Purchases Matters Over the past year, fewer people have been investing in second homes—often used as vacation or short-term rental properties. Rising interest rates, economic caution, and declining returns from platforms like Airbnb have made many prospective buyers hesitant. As a result, inventory in these areas is building up. This slowdown could lead to a surplus of properties on the market, especially in popular tourist destinations that previously saw high demand from investors. In turn, this increased inventory may drive prices down and create unique opportunities for strategic buyers. The Airbnb Effect: Inventory on the Horizon Short-term rental markets, especially those reliant on Airbnb income, are now seeing a pullback. As fewer buyers take on new mortgages and many owners reconsider the profitability of managing vacation rentals, more homes are likely to be listed for sale in the next 12 to 24 months. This means we could soon see a wave of former short-term rentals hit the market. For buyers, this anticipated supply boost represents a rare opportunity—especially if prices remain suppressed due to low competition. A Buyer’s Market for the Right Type of Property Even though some investors may be cautious about re-entering the Airbnb business, the speaker in the video notes that these properties still hold value—particularly for owner-occupants. If you're looking to purchase a home in a desirable area and live in it, now could be the perfect time to get in before demand rebounds. In other words, this isn’t just a play for rental investors. People looking for a second home, a relocation opportunity, or even a primary residence in a scenic area can benefit from today's soft market conditions. Looking Ahead The decline in vacation home buying isn't just a statistic—it's a signal. With fewer buyers, growing inventory, and reduced competition, 2025 may offer some of the best buying conditions in years for certain segments of the real estate market. Whether you're an investor waiting for the right moment or a future homeowner eyeing a dream location, keeping an eye on the short-term rental market could lead you to your next big opportunity. For a visual overview and additional insights, you can watch the full video here: https://youtube.com/shorts/riNsRqLCkVQ?si=En3MKSlTJgqLfB1b

By: Ralph Dibugnara June 2, 2025 You’ve probably heard the advice everywhere: “Buy real estate!” But Warren Buffett, one of the world’s greatest investors, famously says he prefers stocks over real estate. So, why the difference? Let’s break down the perspectives. Real Estate’s Strong Historical Track Record The video points out that over the last 83 years, real estate has appreciated in value for 77 years — an impressive record. The only years it declined were during major market crashes, making it a relatively safe investment for the average person. Real estate’s consistent growth comes from fundamental factors like: Limited housing supply Increasing demand due to population growth Its status as a tangible asset For most people looking for a solid, understandable way to grow wealth, real estate ticks many boxes. Warren Buffett’s Unique Position and Preference Warren Buffett’s investing journey is unique. He built his fortune in a time when stock investing had less competition and inefficiency that he could exploit. Today, he has access to sophisticated financial tools and inside knowledge, enabling him to make complex, high-level stock investments. For Buffett: Stocks offer greater liquidity They provide ease of diversification He can make more sophisticated investment choices These advantages make stocks a better fit for his style and resources. What This Means for Most Investors If you’re an everyday investor: Real estate is still one of the best “simple” investments for building wealth. It provides steady growth, tangible value, and potential rental income. The housing shortage and demand trends support continued appreciation. Buffett’s advice is shaped by his unique skills and resources, but for most people, real estate remains a solid, long-term investment choice. Conclusion Warren Buffett’s preference for stocks doesn’t mean real estate is a bad investment. Rather, it highlights that different investments work better for different investors depending on their knowledge, capital, and goals. For many people seeking a straightforward, historically reliable investment, real estate remains a powerful way to grow and protect wealth.

By: Ralph Dibugnara By Yaёl Bizouati-Kennedy May 8, 2025 https://www.realtor.com/advice/finance/what-is-an-acceleration-clause/ t’s no secret that the double whammy of inflation and high interest rates continues to hurt Americans’ finances. Further compounding the issue, an Insurify survey found that “homeowners will again face rising insurance costs in 2025 as insurance companies try to recoup massive losses from recent years.” The insurance comparison shopping website projects the annual cost of home insurance will increase 8% by the end of the year, to a national average of $3,520.” In turn, these combined high costs can result in missed mortgage payments. In fact, as of Feb. 28, 2025, the total U.S. loan delinquency rate stood at 3.53%, representing a 5.69% year-over-year change, according to Intercontinental Exchange data. While missing one mortgage payment might not seem catastrophic, homeowners should be cautious about one specific clause in their contract: the mortgage acceleration clause. What is a mortgage acceleration clause? A mortgage acceleration clause is a provision in the mortgage contract that stipulates the lender may “accelerate” payments under certain circumstances. It's part of the standard mortgage agreement used by Fannie Mae. But even if your mortgage is not backed by Fannie Mae, most lenders have some form of an acceleration clause in place. “If a homeowner fails to fulfill the terms of their mortgage agreement, they’ll receive an acceleration letter notifying them that the lender has triggered the acceleration clause,” according to Rocket Mortgage. "If any terms of the loan agreement are not met, the mortgage note holder has the right to call the note," adds Ralph DiBugnara, a vice president at Residential Home Funding. What can trigger an acceleration clause in real estate? Various situations can initiate the implementation of this clause, and understanding your contract and its terms is crucial. Missing payments When homeowners miss a mortgage payment, lenders can use this clause. “The number of payments that can be missed before a lender demands repayment can vary based on several factors, such as the loan documents, laws and regulations, investor guidelines, and lender policies,” according to Chase Bank. Lack of insurance Another instance that can trigger this clause to be implemented is if you cancel your homeowners insurance for whatever reason. As Rocket Mortgage explains, “your lender will require you to maintain homeowners insurance so that the property can be repaired if it’s damaged to restore its market value.” Unpaid property taxes The clause can be implemented if you fail to pay your property taxes, and this could result in a lien against your home, according to Quicken Loans. To put this in context, a recent survey from real estate resources website Ownwell found that 74% of respondents worry about significant increases in their annual property tax bills. Bankruptcy and unauthorized property transfer An acceleration clause can also be enacted by your lender in the instance of a bankruptcy, as well as in the case of an unauthorized and unapproved property transfer. What can you do if your mortgage is accelerated? If you receive a mortgage acceleration clause letter, there are a few steps you can take. "It's important to note that even if your mortgage is accelerated, you can still avoid foreclosure," explains Adam Sherwin of the Sherwin Law Firm, in Somerville, MA. "It doesn't mean that there's no other option left." Case in point: The legal foreclosure process "can’t start until you are at least 120 days behind on your mortgage,” according to the Consumer Financial Protection Bureau. A lender doesn't have to accelerate your loan to foreclose on your home, explains Sherwin, but often it will. "It's kind of a formality," Sherwin explains. "It's one last chance to pay before the foreclosure process begins." Mortgage acceleration repayment plan One option is mortgage acceleration repayment plans. Quicken Loans explains that this enables owners to pay missed payments, and once they’re caught up, regular mortgage payments will be reinstated. “Some lenders are flexible and may even make a repayment plan available so you can catch up on defaulted payments without a large lump sum payment,” according to Quicken Loans. Refinancing Refinancing loans might also be an option, but this is not available to everyone, especially if the acceleration clause is implemented due to missed payments, as these “have a significant impact on your ability to qualify,” according to Rocket Mortgage. Short sale This means that the home will be sold for “less than the balance remaining on the mortgage,” and the proceeds of the sale will go toward the loan, according to Chase Bank. Finally, there are also some preemptive steps you can take if you believe you will miss a mortgage payment. For instance, homeowners can ask for mortgage assistance. Some lenders will help you if you experience a hardship due to an unexpected life event such as job loss, illness, or a natural disaster. "Each servicer has their own specific guidelines for modification," says Sherwin, but they may extend your loan's terms, reduce your interest rate, or come up with a delayed repayment schedule that works for both parties. Updated from an earlier version by Audrey Ference.