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In case you weren’t aware, almost 60 days ago, the people of the United Kingdom voted to exit from the European Union.

This vote subsequently sent shock waves through the global economy. The same country that’s famous for James Bond, red phone boxes, bacon sandwiches, Wimbledon, Stonehenge, tea, roast dinners, the BBC and, of course, Buckingham Palace can now add something else to the list of all things being British.

This latest addition is of course the summer of 2016 United States home loan interest rate environment. Yes, a current bargain to say the least.

Unfortunately for the people of the U.K., I’m sure there’s been plenty of emotions involved before and after this monumental vote took place.

While it’s probably going to take a bit of time to sort through things overseas, here in the U.S., the home loan market has actually been a major beneficiary of what happened in Britain. If you’re a homeowner or if you want to be a homeowner, then the summer of 2016 is a very opportunistic time to explore financing options with your lending professional.

Let me explain. If you only had one dollar to invest, you would likely want to invest it somewhere that has a good rate of return but where it was also safe so that your chances of losing the original dollar, plus any gains from its investment, were protected as well.

As such, the U.S. bond market has been, and continues to be, the preferred place for many investors to park their funds despite its yields not being all that attractive. Nonetheless, still safer and more conservative than elsewhere.

Before the so-called “Brexit” vote took place, investors were already seeing falling global yields, central bank interventions and generally weaker than desired global economic reports. Naturally, this created a favorable U.S. bond market, which, in turn, allowed home loan rates to remain low.

However, after the U.K.’s vote took place, the U.S. bond market became even more of a safe-haven for investors.

That said, home loan rates plunged, just like the drop on your first roller-coaster ride to start the summer. To illustrate, this translated to around a ½ percent or one-point drop in rate and around a 3 to 4 times surge in daily rate locks for many banks.

It won’t be all strawberries and cream for long. If you’re a homeowner who hasn’t been contacted yet by a lender, then you should reach out to a local mortgage professional immediately for consultation.

If you’re thinking about buying a home, then you should be discussing with your lender the different ways to take advantage of today’s interest rate conditions. Either way, there are about 30 days left in our “British summer.”

After that, the people of the U.S. will have a monumental vote themselves this fall. As the camping tents go down and the school bells ring, now is the time to look at how to improve your mortgage plan before the end of this year.

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Chris Salese can be reached at or 707-363-4439.