When Should I Refinance My Mortgage?
When interest rates fall, it's a good time to refinance your mortgage. In this case, you can find another loan with a similar monthly payment as your current loan, but repaid over a much shorter period. It can also be useful to convert to an adjustable-rate mortgage from a fixed-rate loan when rates will continue falling, as your rate may decrease with the market.
Generally, you should consider refinancing whenever it can help reduce your monthly payments, shorten the time it takes to repay your loan, or both. Remember that every mortgage includes closing fees, so you should wait to ensure the benefits you gain from refinancing will be more than enough to justify paying these expenses.
- What Does It Mean to Refinance a Mortgage?
- How Does My Credit Score Affect Refinancing?
- Is Refinancing Available for FHA, VA, Jumbo, or USDA Loans?
- How Much Equity Do I Need to Have Before Refinancing?
- How Do I Refinance My Mortgage?
- How Do I Know If I Am Eligible to Refinance My Mortgage?
- What Are Some of the Benefits of Refinancing?
- What Are the Disadvantages of Mortgage Refinancing through a Third-Party Mortgage Broker?
- Will Refinancing Lower My PMI?
- What Are the Costs and Fees of Refinancing?
- Should I Refinance If I Only Plan on Living in My Home for a Few More Years?