AmCap Advises

Here’s why you don’t want to wait for a lower mortgage interest rate

Should you be pouncing on those lower mortgage interest rates?

Photo courtesy of AmCap

It’s no secret that mortgage interest rates are very low, fluctuating between 3.5 and 4 percent over the past year. Despite these low numbers, there hasn’t been a big increase in home purchases and refinancing. Why?

After the United Kingdom voted to leave the European Union earlier this year (remember Brexit?), a market frenzy followed and caused mortgage rates to drop even further. This forced analysts to adjust their predictions that interest rates would increase in 2016, so now most people are anticipating further drops. But there are some solid reasons as to why you’d be smart to act now instead of waiting.

Low rates could be gone tomorrow
With few owners refinancing or potential homebuyers taking the plunge, AmCap Mortgage was curious to see why. What they found was that many consumers were reluctant to apply over concerns that they may not be getting the best possible deal. If they wait a little longer, they figure, rates may drop.

Although that does make a bit of sense, the strategy itself is flawed. The only way a consumer will ever know that rates have dropped to their lowest point is when rates are back on the rise.

Historic lows are there for the taking
Looking at interest rates historically, today’s rates are the lowest they’ve been in the past three years, and prior to that, interest rates were the lowest ever. To give you some perspective as to how low interest rates are in today’s market, many of the consumers currently refinancing are the same ones who refinanced a year ago.

Interest rates are simply too low to pass up, and the monthly savings far outweigh the costs associated with refinancing.

There are reliable advisors to help you with the process
At AmCap, experienced loan originators can provide you with all the information you need to make an informed home loan decision: the loan programs you’re eligible for, the up-front costs, the projected monthly savings associated with refinancing, and the total projected fees for the transaction.

In a short amount of time, you could hit your break-even point
The key thing consumers should be looking for when refinancing is the break-even point: when the refinance pays for itself. There are fees associated with every home loan transaction — lender fees, title fees, escrows, etc. — but the break-even point occurs when the cumulative monthly savings resulting from the refinance equals the actual cost of the refinance.

Let’s say you were to refinance and your new monthly payment yields a savings of $100. And let’s say the total cost of the refinance comes to $1,500. The break-even point would occur after 15 months, meaning you’d be free of your refinancing fees and reaping the benefits of a lower payment starting in the 16th month.

So why is the break-even point so important? It helps determine whether refinancing to a lower rate is your best option. For example, if you’re considering selling your home in the next two years and your break-even point won’t occur until year three, you may want to hold off on refinancing, as the cost of the refinance would likely not be recouped prior to the sale.

If you’re still unsure whether acting on today’s mortgage rates is in your best interest, talk to an experienced loan originator at AmCap. And here’s a bonus: When you partner with AmCap in your loan search, they’ll donate $500 to the charity of your choice. That’s a partnership where everyone wins.

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weekend event planner

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Gazillion Bubble Show/Facebook

It's more bounce for the ounce at the Gazillion Bubble Show.

What's poppin' this weekend? How about a gazillion bubbles — or so — as a popular New York bubble show bounces into Houston. A highly anticipated downtown park finally hosts a grand opening bash, while Houston Botanic Garden blooms with massive sculptures hiding in plain sight.

A major influencer beefs up a burger pop-up, comedian Jo Koy brings the funny, and a K-pop smash act hits town. Enjoy; here are your best bets for the weekend.

Thursday, January 26

State & Liberty Charitable Happy Hour

State & Liberty, a clothing retailer of men’s athletic-fit dress shirts, will be hosting a happy hour and charity shopping experience. Benefitting the Kyle Tucker Foundation, State & Liberty opens its doors to shoppers to peruse their wrinkle-free, lightweight performance fabrics. The brand offers suits, sport coats, polos, and casual stretch shorts. The store will donate 10% of sales to the Foundation during the event. While shopping for a cause, guests can also take in complementary whiskey tasting and live music, as well as a cigar gift with purchase. 5 pm.

Holocaust Museum Houston presents The Jewish Dog

In collaboration with the Consulate General of Israel to the Southwest, the Jewish Federation of Greater Houston and the ADL Southwest, Holocaust Museum Houston presents The Jewish Dog, in honor of International Holocaust Remembrance Day. Based on the book of the same name, this moving – and at times funny – one-man show tells the story of the Holocaust through the eyes of Coresh, a dog born into a Jewish Family in Berlin, 1933. 6:30 pm.

Moores Opera Center presents Die Fledermaus

Raise a glass to comedy and decadence with one of the most beloved operettas in the repertoire. What could be more fun than a show that revolves around practical jokes, disguises, and gallons of champagne? Audiences will attend the ultimate masked ball and discover not only why Johann Strauss Jr. is known as the Waltz King, but also just how far some people will go to exact their revenge. 7:30 pm (2:30 pm Sunday).

Friday, January 27

Trebly Park Grand Opening

Located in southern downtown, in the Central Business District, Trebly Park is a neighborhood park that features dog runs, a large lawn, Tout Suite and more. At the Trebly Park Grand Opening, experience “three times as much” fun. Visitors can get sweet macaroons at the park restaurant, Tout Suite, visit the dog parks, listen to live music, and play carnival games at downtown Houston's new neighborhood park. And it’s all free. 2 pm.

Houston Botanic Garden presents Intertwined, Wined & Dined

Houston Botanic Garden will host Steve Tobin, the creator of Intertwined: Exploring Nature's Network, for this exclusive happy hour and dinner, where guests will learn directly from Steve about these sculptures. Guests will also get to take a stroll after-hours at sunset with a private tour of the Houston Botanic Garden and its newest sculpture exhibit. Executive chef Thomas Stacy will host the five-course immersive pop-up dinner and wine pairing, featuring garden grown heirloom collard greens, selected veggies and robust herbs. 5 pm.

Reeves Art + Design presents "Houston, We Need a Title" opening reception

The gallery returns to its eclectic roots with a show that incorporates everything but the kitchen sink. Bringing together work from over 25 Texas artists, they aim to take a step back from traditional curation with this show and simply allow their clients to experience a plethora of art and explore their own tastes and preferences. Featured artists include those making their Reeves Art + Design debut, including Gary Griffin, Holland Geibel, Wood Francher Anthony, Jessica Simorte, Hector Hernandez, and more. Through Saturday, February 18. 6 pm.

Houston Grand Opera presents Werther

The lovesick yearnings of the tortured young poet Werther lead to his tragic fate in Massenet’s lush opera, which returns to HGO for the first time in 40 years with this production from French director Benoît Jacquot, making his HGO debut. Matthew Polenzani, one of the world’s most distinguished tenors, leads the cast as Werther in his Houston debut. With mezzo-soprano Isabel Leonard debuting alongside, audiences won’t want to miss this chance to see legends perform a rare psychological drama. Through Friday, February 10. 7:30 pm (2:30 pm Sunday).

Saturday, January 28

Performing Arts Houston presents Gazillion Bubble Show

After 20 years as a Master of Bubbles, in 2007 Fan Yang brought his unique brand of bubble artistry to the Big Apple and has since wowed bubble lovers of all ages. The Gazillion Bubble Show truly is a family affair for Fan: his wife Ana, son Deni, daughter Melody, and brother Jano all can be found on stage in New York and around the world performing their bubble magic. Audiences are delighted with an unbelievable experience, awash with a bubble tide, and some even find themselves inside a bubble. 11 am and 3 pm.

Queen of Hearts: Griff’s Employee Relief Fund

Memorial Trail Ice House will have a Queen of Hearts benefit for the Griff’s employee relief fund. Griff's Irish Pub has been a Houston landmark for many years, and the news of the fire that happened earlier this month has affected a lot of people – especially the staff and owners. Come support the employees as they rebuild, while getting a chance to win 50% of the pot. Tickets are $20 with no purchase limit. Slim Chance Bistro will be on site until 4pm. Noon.

Harris County Public LIbrary presents Holocaust Remembrance Day Concert

Apollo Chamber Players and Harris County Public LIbrary will reflect Holocaust Remembrance Day with a program of multicultural new music by Sephardic scholar Isabelle Ganz and Rice University faculty composer Richard Lavenda. Guest collaborators include vocalist Ceclia Duarte, percussionist Jesus Pacheco, and bassoonist Benjamin Kamins, former principal of the Houston Symphony and professor at The Shepherd School of Music. 2 pm.

Toyota Center presents Jo Koy

After proving he could headline a big-screen comedy with last summer’s Easter Sunday, Jo Koy and his Jo Koy World Tour will feature all-new material. One of today’s premiere stand-up comedians (dude has a bunch of specials on Netflix), Jo’s uniquely relatable comedy, which pulls inspiration from his colorful family, has reached all kinds of people and has translated into sold-out arenas around the world. 8 pm.

Sunday, January 29

Rahim Mohamed “Ocky Way” pop-up at Burger Bodega

Burger Bodega will host the famous TikTok influencer and viral internet sensation Rahim Mohamedfor a one-day pop-up. Mohamed will take over the parking lot with his exotic "Ocky Way" chopped cheese sandwiches. With his enormous following, Mohamed has coined the term "Ocky Way" and has taken it to new heights at his sandwich shop Red Hook Food Corp in Brooklyn. Rahim's unique style of sandwiches helped him gain a following of over 4 million followers with millions of views overall. 1 pm.

Ars Lyrica presents From China with Love: Musical Chinoiseries in 17th- and 18th-Century Europe

Exotic decorations on cabinets, porcelain vessels, and embroideries imported from China inspired a popular design trend in Baroque Europe, one reflected in various objects in the Rienzi collection and on the harpsichord featured on this program. Musical selections by Teodorico Pedrini, Henry Purcell, Jean-Philippe Rameau, and Christoph Willibald Gluck illustrate how composers of this time created equally lavish-sounding textures. 4 and 5:30 pm.

ONEUS in concert

After a triumphant U.S. tour last year, the hottest Korean boy band since BTS is back to prove they’re still the most electrifying act on the world stage today. The five members of ONEUS have a fresh, vibrant sound and attitude that sets them apart from all other pop acts. The group’s songs, music videos, and stage show often draw inspiration from traditional Korean instruments, fashion, and culture, but are also forward-looking with intriguing themes, inspired couture, and modern-day sounds like trap, hip-hop, and futuristic funk. 7:30 pm.

AmCap Advises

Here’s why you don’t want to wait for a lower mortgage interest rate

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