Did you buy a home with a high interest rate and intend to refinance later?

Andrew Khouri
FILE - In this April 1, 2020 photo, a "For Sale" sign stands in front of a home that is in the process of being sold in Monroe, Wash., outside of Seattle. Americans stepped up their home purchases in June, clawing back some of the losses after the pandemic had caused sales to crater in the prior three months. (AP Photo/Elaine Thompson, File)
In recent weeks, mortgage interest rates have climbed. (Associated Press)

Ever since mortgage interest rates jumped in 2022, some Californians have had a strategy: Buy now and, once rates drop, refinance to save hundreds of dollars each month.

The idea — pushed by some real estate agents — was supposed to be a trade-off. The buyer could pick up a home in a slower market, and though interest costs would be high, they wouldn’t stay that way.

The strategy may still work, but so far, high borrowing costs are here to stay. In recent weeks, rates have climbed higher, surpassing 7% for the first time since last year.

If you bought a home with this strategy, The Times would like to speak with you about how it has worked out.

This story originally appeared in Los Angeles Times.

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