Election years typically bring with them their share of uncertainty. For homeowners, that uncertainty includes concerns over interest rates and inflation. Election news might have you ignoring your social feeds and maybe even the local news, but when it comes to your wallet, this is one political topic you can’t afford to avoid. If you’ve been considering refinancing your mortgage, there are a few compelling reasons to get the ball rolling now — not after the election in November.

Rates are good. We mean really good.

Do you currently spend more than a third of your income on your mortgage payment? If so, you’re paying more than the average American, and refinancing now while rates are hovering around historic lows could translate to a surplus in savings going forward. Just think what you could do with some extra cash each month! It’s difficult to tell what will transpire with mortgage rates after the election, but they remain stable, and extremely affordable at the present time. In fact, today’s mortgage interest rates have fallen lower than 3.0 percent! 

If you’re paying down a variable rate mortgage, it may also be time to look into refinancing. Even if your rate is currently low, it’s impossible to predict what may happen to the market if there’s a new administration in the driver’s seat. Locking in a fixed rate means less concerns about the impact of new leadership on your financial status, as well as lending some certainty to how much you’ll pay your lender every month.

You could be saving more

With rates as low as they are, borrowers shouldn’t be wasting money on interest payments. If you don’t know how much you could actually save, think about this: According to Zillow, a 30-year, $300,000 mortgage with a 4.5 percent interest rate will cost you $1,520 per month. Drop that rate to 3.5, and your payment shrinks down to $1,347, netting you more than $2,000 per year. After all, experts agree that the best time to refinance is when there is a net tangible benefit, like a reduction in payment or less interest paid, or both. Since rates are at near historic lows, and the economy is showing signs that it is regaining some momentum, that could result in the interest rates rising again before too long.

Inflation could cost you

The term “inflation” has long instilled fear into the hearts of the working class — fear of a rising cost of living. Fear of the economy stagnating. Fear of the dollar losing value on a global scale. While there are many downsides to inflation, landing a fixed-rate mortgage at today’s low rates isn’t one of them. In fact, in this particular scenario, inflation might actually do you a favor. Essentially, you’d be paying back your loan with devalued dollars, according to an assessment by Bankrate. With the standard-issue economic uncertainty during an election year, locking in a great rate while you can could be wise in the long term.

Values Are On the Rise

Were you one of the lucky ones who already happened to secure an awesome mortgage rate? If you’re still paying private mortgage insurance , it’s possible you’re still paying out more per month than needed. American home prices are on the rise across the nation, so depending on how long you’ve been in your home, you might have more equity than you think. That means you may be able to say “see you later” to your PMI with a refinance.

Nothing is ever certain

Who ultimately ends up in the Oval Office isn’t the only wild card involved in a presidential election. Sweeping administration changes are also a possibility,  which could mean that interest rates may not stay low for long. Major shifts in interest rates during the election are unlikely, but afterwards, there are many unknown factors as to the monetary policies of a new administration.

Though we’re steadily closing in on Election Day, there’s still time to look into a favorable refinance. Speak with a trusted lender – or several – as soon as possible. Get your application completed and the underwriting process started before all the votes are counted. Questions? Our lending team would love to chat with you about whether a refinance is a good fit for you!