If they offer you a fixed & lower interest rate, go for it.
See http://www.esuperfind.com/lowermybills.phpp?id=hra0tt16koo9 the affiliated site is an Experian company BBB approved so very safe.
They might or they might not have you on. It depends on many factors and where you are located.
1. When you can get a fixed mortgage with a lower interest rate than the one you have.
2. Calculate the monthly savings with the new mortgage.
3. Determine the total cost of the refinancing.
4. Calculate how long you would have to keep the mortgage in order to recoup the refinancing expense.
5. Go with the new mortgage if you plan to be in the home long enough to break even.
References :
Use this mortgage calculator to find out how much you’re going to save. Also here’s an article explaining the steps to calculate it. Hope this helps.
References :
Calculator:
https://www.quickenloans.com/mortgage-calculator/should-you-refinance
Should I Refinance? The Costs and Benefits of Refinancing Your Mortgage
https://www.quickenloans.com/mortgage-news/should-i-refinance-the-costs-and-benefits-of-refinancing-your-mortgage-5751
There are a lot of factors that go into determining if it is a good idea to refinance your home.
Since you will have to pay closing costs again, it is essential to determine the break even point, which is how long it will take you to recoup your closing costs.
So, for example, if you save $100 a month on your mortgage payment and closing costs were $3000, it would take you 30 months to break even and actually start saving money. There is no set rule, but generally you don’t want the break even point to be more than 4 years.
Also, many people refinance a home to avoid foreclosure, so again it often depends on your specific situation.
References :
When to Refinance a Home: http://www.firstmortgagebuyer.com/mortgages/knowing-when-to-refinance-your-mortgage/
If they offer you a fixed & lower interest rate, go for it.
See http://www.esuperfind.com/lowermybills.phpp?id=hra0tt16koo9 the affiliated site is an Experian company BBB approved so very safe.
They might or they might not have you on. It depends on many factors and where you are located.
References :