2006-11-11 04:42:51 · 3 answers · asked by fords5 1 in Business & Finance ➔ Renting & Real Estate
If you're planning to sell it in the next few months, no, since the costs to refinance would probably more than eat up any savings. If you're planning to sell in a year, maybe. Longer out than that, probably yes.
2006-11-11 07:40:36 · answer #1 · answered by Judy 7 · 0⤊ 0⤋
It really depends on how long you plan on keeping your home. If your adjustable rate mortgage spikes up to 9-10%, and your payments are a lot higher than when they were fixed, it may make sense to refinance and lock in a rate for the short-term. You can email me directly if you have any questions: peter@chicagobancorp.com.
2006-11-11 13:11:18 · answer #2 · answered by Peter N 2 · 0⤊ 0⤋
Absolutely NOT!!!!!!
You owe $150,000. Interest rate is 11% (let's say)
Sell the house for $170,000 Equity is $20,000.
or.............
Re-finance at 7%, now you owe $154,000. Because the nice re-fi company told you they could lower your payment with no money out of pocket. (NOT THE SAME AS FREE.)
Sell the house for $170,000 Equity is $16,000.
2006-11-11 12:57:36 · answer #3 · answered by teran_realtor 7 · 0⤊ 0⤋