Wednesday, May 18, 2016
Is it time to refinance your mortgage?
If you took advantage of refinancing your mortgage a few years ago, you might be in a position to save even more green by traveling the refinance road again.
“A lot of homeowners who refinanced in 2011 are already coming back, because the interest rates are a full percentage lower,” says Krystal Frederick, mortgage lending consultant supervisor at Dupaco.
When does a refinance make sense?
Several factors should be weighed on a case-by-case basis when determining whether refinancing your mortgage is worthwhile.
The old rule of thumb recommends refinancing when you can drop your interest rate a full percentage point or shave $100 from your monthly payments, according to Frederick, who leans toward the latter guideline.
When you refinance, you do incur closing costs. So if you’re planning to sell your home in the near future, you might not recoup those fees before you move.
“There are so many variables and scenarios that go into determining when a refinance is a good fit,” Frederick says.
What are the benefits of refinancing your home?
When you are eligible to refinance, it can be a smart move that leaves you money ahead. A refinance can:
If you’re not sure whether it’s worth refinancing, check out Dupaco’s refinance calculator or contact a Dupaco mortgage lender at 800-373-7600, ext. 204.
By Emily Kittle