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Before considering IF you can afford the new payment (presumably higher than your current), I suggest you consider the potential interest savings.for 275k, 5.25% simple interest is $14,437; and 4.25% is $11,687; with a potential interest savings of almost $3,000 per year,Since it looks like you can save more then enough interest to recover the costs, if the payment amount is ok with your budget a refinance appears to be a good idea.
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For Sale: $330,000
For Sale: $419,700
For Sale: $539,000