WEST SPRINGFIELD – The Federal Reserve cut its benchmark interest rate by a quarter percent last week.
But does that mean it’s worthwhile for homeowners – who might have borrowed when interest rates were higher – to refinance their homes now and take advantage of a lower rate?
“It depends,” said William F. Galvin , the state Secretary of the Commonwealth, said on a visit to the Big E.
He’s promoting a mortgage calculator available online at www.sec.state.ma.us . Galvin’s job includes oversight of the registries of deeds around the state.
The calculator, provided by bankrate.com , gives people a chance to figure out the advantage of a refinance with information separate from anyone trying to sell them a mortgage.
The large Ferris wheel at the 2025 Big E. The Big E is the largest event on the East Coast and the fourth largest fair in North America. Sept. 17, 2025. (Douglas Hook / The Republican)Douglas Hook
“Rates will come down,” Galvin said.
The calculator asks potential refinancers to input their current monthly payment, their interest rate is, the proposed new rate, the fees involved and explains the possibility of paying for points to lower the interest rate.
It also asks borrowers if there is cash being taken out of the equity and, if so, how much.
According to freddiemac.com , the cost of a 30-year fixed rate mortgage averaged 6.26% last week. That was down slightly from the week before, but up about a quarter point from where it was a year ago.
The running 52-week average is 5.87%.
Stories by Jim Kinney
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