Many of us may know a little about refinancing our homes, or may have heard of the savings it can bring, but many homeowners still do not know how to refinance, are scared to refinance or do not know if they qualify for refinancing. Due to the housing market struggle, many homeowners may be missing out on millions in savings because of refinance issues. Here are some reasons to refinance if you qualify, to help save you money now and in the future.

Some homeowners do not qualify for refinancing because of falling home prices leaving people with little if any equity at all. However, around thirty-seven percent of all borrowers who have thirty year fixed rate mortgages have rates of six percent or higher and many of these borrowers could reduce that rate by a full percentage if they refinanced their homes at the current rates of about five percent. Also some borrowers that refinanced their homes in 2009 will save about $3.4 billion total for that year and an additional 17.2 billion over the next five years.

Due to home prices falling and home values dropping however, most people owe more on their home than it is worth and have little or no equity, making refinancing nearly if not completely impossible.  Also bank fees and other charges are turning many homeowners away from even thinking about refinancing their homes and the ones that are refinancing seem to be the ones that need it the least.

There is a little light of hope though for those having trouble refinancing; the Obama administration has decided to extend its program to help those homeowners with little or no equity in order to make refinancing easier and to make a possibility for many people. Also, other programs are being talked about to help struggling homeowners be able to refinance and save money.

It is important to refinance if you can, and if you do not know how, start doing some research and asking questions, because it could save you money in the long run. With these hard times, many of us need all the money and help we can get.