Question:

Should I refinance my first mortgage considering second home mortgage interest rates and if I live in California?

Answer:

Given that mortgage rates are now quite low, it may not be better doing a first mortgage refinance rather than doing a second mortgage.

Expectations are that second home mortgage interest rates will change and as they are already higher than a first mortgage rates, you may be better off if you refinance all your debt rather than stick with a second lien.

Since California homes have experienced great appreciation in the last several years, if you run a house valuation on your property right now, it may be worth twice the price it had several years ago and you be able to get a very nice second home mortgage even if interest rates rise considerably.

No matter if you decide to tap your equity through refinancing or adding a second mortgage due to increased home value, you are a lucky California resident. You might be considering even a home equity line of credit. It will give you the ability to directly write off checks of a HELOC. No matter what the rates are now, it is a great time now to tap in the equity of California homes - either through a cash-out refinance, second mortgage or a HELOC.

Recommended helpful present and future homeowners links:
Why: Refinance to a fixed rate loan while mortgage rates are still low.
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Why: Because FHA loans are insured by the US Federal Government they have very competitive interest rates and are easier to qualify.
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Common misspellings: mortage and morgage