Question by vjustice4all: Does it make sense to refinance my home now?
I just purchased a home in december 2008. My purchase price was 224,000 with a fixed loan at 6.75 interest rate. Seeing that the interest rates are going down now, does it make sense to refinance now. I am not looking to get money off of the house just lower my interest rates which will inturn lower my monthly mortgage.
Answer by johnb693
Definitely, and if you can swing it and afford it, go for the fifteen year ones. But if not, then the thirty year mortgage with a fixed interest rates. I think they are under 5% now. So that’s a big savings, even when you figure in the cost of refinancing your Mortgage.
I did that fifteen years ago, and just paid mine off, two months ago.
It was hard at first, in the beginning, but as my income grew, it became a lot easier for me.
So I would suggest, you visit your Bank, and get all the details as to how much it will cost you, and if you are eligible to do it.
Know better? Leave your own answer in the comments!
Most likely you are in the window to refinance. I was at 5.95 and got 4.85 percent and since I plan on staying in the home for at least five years or more it will pay me back. You will probably save a couple hundred bucks if you can get down to 4.85.