While most mortgages have interest rates low enough that refinancing would not be a money-saving option, borrowers with higher rates are missing out on an opportunity to save money. CoreLogic staffer Molly Boesel reported that data showed 41% of mortgages, representing 31% of the outstanding unpaid principal balance (UPB), have rates greater than 4.38% (almost 100 points higher than the current 30-year rate for refinance.

One of the reasons why these people have not refinanced is the serious delinquency rate:

The serious delinquency rate is higher for higher-rate mortgages, with 12 percent of mortgages in the 7 percent or higher range being 90 days or more past due. This explains why a portion of these borrowers haven’t refinanced: They are behind on their payments and most likely wouldn’t be able to qualify for a new mortgage.

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