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Only 9 years left of a 15 year fixed 5% - is it worth refinancing?

Profile picture for acmedia
Contributions: 1
We could lower the monthly payments but would be paying them for a longer period - we're not planning on moving, we're not hurting, and the house value is more than double what we owe.

So what would you do?
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March 18 - Fremont
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Profile picture for SeattleHome.com
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The lenders have spoken.  Great loan, you're not hurting, stick with it.
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March 18
Profile picture for Bud Smoker
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I would say just walk away from the house and let the bank foreclose. All the cool people are doing it! ;OP
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March 18
Take the amount of money it would cost to refi and apply it to your principal balance instead. 
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March 18
Profile picture for SteveFelty
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Your question cannot be answered unless one knows your principal balance.  You need simply to compare the current interest cost with the cost of interest on a new loan, then divide that savings into the closing costs to determine how many months you need to keep the loan to break even. 

If you owe less than 150k, and the closing costs are $3,600; you would break even on a 4.25% rate in 36 months.  however if you owe 400k with the same closing costs, you'd break even in about 14 months.  

With a conforming loan, you can always pay additional principal to payoff your mortgage on your own schedule.
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March 18
Profile picture for CHUTTA
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Stay with what you have. 

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March 18
Profile picture for CA UMB
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My first response is to stay with what you have. Although you may consider an interest only arm. Rate could be as low as 4.7% I/O. If you made your current 15 yr fixed payment every penny over the I/O payment would go towards reducing your principal balance. ... Something to think about. ... Zillow has a Amorizaation Calculator were you can play with the numbers. ..... Best wishes, Rudi
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March 18
Profile picture for Rob Cochems
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stay with what you got.
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March 18
 

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