Hi,
What kind of interest rate are you getting on the 15 year mortgage loan? If the interest rates are low and affordable, you can refinance. With a 15 year loan, you can pay off the mortgage faster and can save certain amount of money in interest over the entire term of the loan. Thus, refinancing with a 15 year loan is definitely a good option provided you're getting a good deal on the new mortgage.
What kind of interest rate are you getting on the 15 year mortgage loan? If the interest rates are low and affordable, you can refinance. With a 15 year loan, you can pay off the mortgage faster and can save certain amount of money in interest over the entire term of the loan. Thus, refinancing with a 15 year loan is definitely a good option provided you're getting a good deal on the new mortgage.
It's a double edge sword. A 15 year fixed mortgage is going to increase your payment significantly. If you can pay that 15yr payment on your current loan, it gives you the ability (for emergency purposes) to pay the original term (30yr) if needed. There's more flexibility to prepaying in your case.
if the 15 year payment and interest rate are affordable and favorable, then it's certainly a viable thing to do. theo does make a good point, but that doesn't take into account a reduction in interest rate that is probably driving your query.
it depends, mostly, on what new rate you'll acquire, as well as what the monthly payment will be and how it fits your budget; combined with the length of time it takes you to save back the costs of doing a refinance. 2-2 1/2 years is optimum time.
it depends, mostly, on what new rate you'll acquire, as well as what the monthly payment will be and how it fits your budget; combined with the length of time it takes you to save back the costs of doing a refinance. 2-2 1/2 years is optimum time.
