ATLANTA — Homeowners with a mortgage could save hundreds each month by taking advantage of near record low interest rates according to Channel 2 consumer adviser Clark Howard.

According to a recent survey done by Bankrate.com, one in five homeowners with a mortgage have not refinanced since the outbreak of the pandemic, and nearly 40% don’t know what their current interest rate is.

Samantha Sakaly bought her Gwinnett County town house in 2018. Since then, she has refinanced twice. Her interest rate went from over 4%, down to 3%.

“It makes you know, a $200 difference each month. And as a teacher that that’s a big chunk of money each month,” Saykaly said.

Greg McBride is the chief financial analyst at Bankrate. He told Channel 2 Action News that he expected more people like Saykaly to start the process.

“At a time of tight household budgets and the rising cost of so many household expenses, the ability to create breathing room in that household budget is extremely valuable,” McBride said.

Keven Rubin is a mortgage broker with Southeastern Mortgage Solutions Inc. He said he’s seen an uptick in his business.

However, he told Channel 2 the pandemic may have stopped many people from starting the refinancing process.

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“You could have been refinancing in the middle of a refi and lost your job,” Rubin explained, adding that people were scared.

The process for most homeowners is simple. In most cases, copies of recent paystubs, W-2s and proof of insurance will be required to apply. There will also be an appraisal of your home, a step Rubin said can sometimes be waived.

“So, if it’s a benefit, then there should be no reason for them not to do it. But the bank, you know, is going to look at and say, ‘what is the benefit to the borrower?’ There’s got to be a benefit. They’re not just going to refinance, just to refinance,” he said.

Rubin said it’s important to understand the fees associated with the loan and to do research into the people you are doing business with.

“Make sure that after they refinance, their loan was paid off, and were the taxes paid, if they were due, and understand who they make their first payment to, because the loan could get sold, probably by the time they start their car from the closing,” he said.

For Sakaly the entire process took less than three weeks. Everything except the closing was done over the phone or online.

“So, now’s the time, really to if you want to save some money, you know, on your monthly budget,” Sakaly said.

Howard said the most important step is comparison shopping between multiple lenders online and brick and mortar, especially credit unions.

“A mortgage broker is a great place to go,” Howard said.

For an easy way to compare rates and savings, go to Clark.com and use the refinancing tool.

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