I have a 30 year mortgage, with 15 years of interest only. This loan is 1 year old.
2007-09-20 04:46:49 · 10 answers · asked by widget 1 in Business & Finance ➔ Personal Finance
NO No no. Interest only is terrible. Refinance now. Fixed rate, simple interest, 30 year. Then accellerate with biweekly payments and pay off loan in 22 years or so.
The loan you have is bad, very bad.
Don't go through your current lender. He/she took advantage of you last time. Don't get taken again. You have the right to have documents examined before you sign them.
I have looked at docs for clients who had the bait and switch. They didn't know what the real terms were until they had the pen in hand. At that point they had emotionally attached themselves to that home. They were buyers already.
2007-09-20 07:20:11 · answer #1 · answered by PFS rep 3 · 0⤊ 0⤋
Yes definitely, your interest rate is way to high! Good luck with comparing.
2014-05-24 00:16:38 · answer #2 · answered by Anonymous · 0⤊ 0⤋
Do you mean that your payments are interest only for the first 15 years? Should you refinance all depends on what your plans are. For instance, how long do you plan on living in this home? How much is your loan amount? Since your loan is only 1 yr old, do you have any equity to refinance (i.e. did you put any money down when you bought this home?) Your decision to refinance should take a lot of things into consideration... not just the interest rate. Your rate is not bad and there are things that you can do to help yourself... all without refinancing and spending more money.
2007-09-20 09:42:09 · answer #3 · answered by mtgproaz 1 · 0⤊ 0⤋
I never heard of a 30 year mortgage with 15 years of interest first. In most cases, you will pay about 70% of the interest on the first 15 years because that's how they make their money. I suggest you review your papers with a real estate lawyer so you know exactly what you signed up for.
2007-09-20 09:25:18 · answer #4 · answered by Anonymous · 0⤊ 0⤋
what is your FICO aka Credit score. If 660 or above: You will get about 3/4 of a percent off your loan or about 6% interest. Is it worth the 3-5 thousand worth of charges? You didnt mention how big of a mortgage you have.
2007-09-20 04:59:30 · answer #5 · answered by Bob D 6 · 0⤊ 0⤋
If I were you, I'd wait. 6.875% is pretty good and low. Plus, most of the time it costs a lot of money to refinance. Good luck!
2007-09-20 04:58:39 · answer #6 · answered by I♥TX 2 · 0⤊ 0⤋
I would wait about 3 to 6 months and then try to re-fi through your current lender NOT A BROKER so that you will avoid points and fees!
6.875 is good for now...play the wait and see game!
Best Wishes to you!
2007-09-20 05:08:02 · answer #7 · answered by ANGEL Baby 3 · 0⤊ 1⤋
I'm just speculating here, but I think we've got more interest rate cuts to come. If it were me, I'd wait another 6 months. I bet by then, the Fed will drop rates another 1/2%.
2007-09-20 04:56:54 · answer #8 · answered by Uncle Pennybags 7 · 0⤊ 0⤋
rates are at 6.25% for a 30yr fixed.
rates dropped a couple of days ago to 6%, but started going back up
Your payments will go higher if you went to a fixed mortgage....you will need to take this into consideration!
2007-09-20 07:37:40 · answer #9 · answered by Anonymous · 0⤊ 0⤋
u got a scam mortgage .
refi fast . fixed rate only, no 80/20's.
visit daveramsey.com to learn what the banks pray u never learn.
2007-09-20 04:56:05 · answer #10 · answered by Anonymous · 0⤊ 1⤋