Another Refinance Question

[ny96]

We refinanced in January to a 30yr with a rate of 3.65. With current low rates we have decided to explore refinancing again. Our mortgage broker just let us know about a 3.125 rate for a 30 year with $2500 in closing costs. We want to stick with a 30 year because we’ll be remodeling soon and need to keep a low payment. We don’t know even with the remodel how long we’ll be here (most of the reason we’re remodeling is to increase the value of our house). I think it’s safe to say 3-5 years, but I don’t know how much longer than that. Would it be worth it to you to refinance if you were in our shoes?

[madisen]

I'd run it through a refinance calculator that will let you know how long it'll take for you to recoup the costs of refinancing and make your decision based on that length of time and how long you realistically expect to stay in the home.

www.dinkytown.net/java/should-i-refinance-calculator.html

[fryjack2]

Shop around a bit more. We were quoted that rate and term with no closing costs by 2 different brokers.

We ended up locking in a 3%, 30 year fixed jumbo loan Paying about 4K in closing costs.