Question by Mi Mi: Is it a good time to refinance my home?
I currently have an 80/20 loan. My first loan has an interest rate of 6.25% (30 year fixed) and my second has an interest rate of 8.875% (20 year interest only). I have been in my home for 3 years and I want to only want to have one mortgage. Is this a good time to refinance?
Best answer:
Answer by golferwhoworks
yes as long as you hav ethe equity go for it.
I am a mortgage banker in tN & KY
What do you think? Answer below!
You won’t get an interest rate lower than your first loan, so the call is yours. Go talk to your bank and see what they can offer you on your second loan.
heck yes its a good time! If you have enough equity you should be looking at a rate in the low 5% range(5.375 -5.5) for a 30 year fixed.
Depending on where you live you may not be able to refinance due to the decrease in home values. Also, it is a lot harder to get 100% financing these days. That being said, if your home has increased enough in value and you have good credit, it is very possible to obtain a loan with a 5.75%, or possibly even lower, interest rate.