Question by Abigail: Should I refinance from an ARM if my rate will increase?
I currently have an ARM mortgage with a rate of 3.125%. I am considering refinancing to a 30 year fixed with a 3.875% rate. Is this a good idea?
The rep said the higher rate is due to the negative equity I have in my house. This would be using the HARP refinance program which is typically makes the rate .75% higher.
Answer by Beverly S
We are doing 3.375% 30 year fixed. Shop around a bit. I would go for a fixed but 3.875 is a bit high right now.
What do you think? Answer below!