Low interest rates

Hello fellows. I realize this is not a typical TFR post, but it might save you some big money depending upon your mortgage situation, so here goes.

Interest rates are super low right now. I thought we got a good deal 3 years ago when we refinanced at 4.875%. Our current lender, EverHome, sent us a letter yesterday saying 10 year loans are now at 3.25%! (15 year loans are at 3.50%). I went ahead and started the refinancing process again to save about $4000 over 10 years (saving about 6 monthly payments at the end).

They will come to the house for the closing, so it’s only a couple hours max of inconvenience total. The closing costs & appraisal fees are added in to the new loan and there is still the $4000 savings for us. So, there is essentially no money out of pocket to do this. Just a phone call and a little bit of time to sign the papers in your home after the appraisal is done.

If your current rate is near 5% or above, you could probably save some big bucks, too, and you might be able to shorten your mortgage duration dramatically thanks to all the interest you won’t have to pay at the lower rate.

Just thought I’d share in case you could benefit from refinancing, but perhaps hadn’t thought about it recently.

#interest-rate, #mortgage, #refinance