The last few years have offered an extremely friendly interest rate environment. This has encouraged purchasing, refinancing, and more real estate activity. As of late, we have seen the Fed nudge rates higher, which was inevitable at some point, and likely a good thing in the long run. Even with this shift, in rates, new financial opportunities on on the doorstep for homeowners – and for those lenders offering deals to these homeowners. What I found interesting is that roughly half of the tappable equity belongs to borrowers whose first-lien mortgages have current interest rates higher than today’s 30-year rate – making them potential candidates for cash-out refis. This translates to trillions of dollars in equity that can (and will be) tapped. Meanwhile, the other half of tappable equity belongs to borrowers whose first-lien mortgages have current interest rates under 4%. What is shocking, is that 23% of cash-out refi borrowers this last year refinanced into higher base mortgage rate to take advantage of cashing out. This strategy can make sense if there is debt consolidation or some other financial goal to reduce the blended rate of other debt at these lower rates. Just be careful about the rate adjustments on any floating or adjustable rate loan products – that can bite! (source: http://bit.ly/1nfZOfT) We know the pain of shopping for a mortgage product and doing all the paperwork required to get a refinance or HELOC deal done – we are here at StreamLoan to help – and make this process simple for both the lending team and customers. Visit us at www.streamloan.io for more information – and as always, feel free to reach out to us directly. We welcome discussions.