Experts: Don't wait to refinance your mortgage

The Federal Reserve's latest move buying up more than $1 trillion in government bonds and mortgage-backed securities has many on Long Island wondering just how low will mortgage rates go. With that, experts say the number of homeowners rushing to refinance will continue.
The Fed?s decision has already led to the lowering of already-low mortgage rates.
When interest rates on 30-year loans came down to about 4.8 percent Thursday morning, Wantagh homeowner Peter Hogarty says he headed straight for the bank to refinance. He says it?s important to do the research ahead of time. A landscape architect, Hogarty bought a $585,000 house in Wantagh two years ago. If all goes well with his re-financing application, the rate on his mortgage will soon be about 2 percent less.
Bethpage Federal Credit Union CEO Kirk Kordeleski cautions not to wait for rates to decrease even further. He says mortgage rates are now at 25-year lows and might not get much lower.
?We have seen an extraordinary amount of refinancing for the last two months and we expect it to pick up even more,? Kordeleski says. ?We've done four times the business in February that we did last February and we expect it to be even more in March and April.?
Now more than ever, banks are looking for people with steady jobs, solid credit and houses whose values, for the most part, are at least 20 percent higher than the balance on their mortgages.
To watch and extended interview with Kordeleski, go to Channel 612 on your iO digital cable box and select iO Extra.