Bank of America Corp. launched “The Great Rate Refi Event” this morning which offers special pricing for borrowers looking to refinance their current home loans into conforming 30-year and 15-year fixed rate loans, and non-conforming 30-year fixed rate loans.
Although the details are limited, it looks like at an attempt by Bank of America to take advantage of the millions of resetting adjustable-rate mortgages whose interest rates are due to soar in the following months.
“Millions of borrowers are feeling the pressure of resetting adjustable rate mortgages, and we now invite them to examine the security of a Bank of America fixed-rate mortgage at attractive pricing,” said Floyd Robinson, president of Consumer Real Estate and Insurance Services Group.
“Today’s mortgage turmoil has caused consumers to re-examine the security and financial soundness of their mortgage provider. Our Great Rate Refi event will stimulate borrowers, especially those with ARMs about to reset, to consider Bank of America, a lender they can trust.”
It is unknown how much interest rates were discounted, but it’s clear that the mortgage lender is making a strong push into the mortgage market as competition heats up amongst those left in the business.
With specialty products disappearing and a limited breadth of loan program availability, lenders must now offer something above and beyond the competition to carve out any sort of niche.
Bank of America is using its strong reputation and perceived safety to snatch market share from the numerous other banks offering the same exact products.
As always, shop around to find the lowest mortgage rate, as Bank of America’s reduced rates may still clock in higher than those found elsewhere.
The offer runs through November 30th and is available in all of the 5,700 banking centers throughout the United States.