Posted on: 25th Aug, 2011 07:09 am
i am retired and subsist entirely on social security. i have 7.5 years remaining on a 15 year fixed mortgage (5.5% or 5.9% apr). the original loan was for $46,000 to which all of the costs were added totalling $52,000; present balance $25,000; monthly payment (including $71/month escrow) is $450. my property is assessed at $80,000
i don't know much about financing but suppose a lender would let me add the fees to the $25,000 balance and refinance for either 8 years (if available) or 15 years.
at 69 years old, does it make sence to refinance? as it is, after my mortgage payment, i live on about $650 a month; the extra money from refinancing would be nice but is not essential.
thanks
i don't know much about financing but suppose a lender would let me add the fees to the $25,000 balance and refinance for either 8 years (if available) or 15 years.
at 69 years old, does it make sence to refinance? as it is, after my mortgage payment, i live on about $650 a month; the extra money from refinancing would be nice but is not essential.
thanks
Hi hmonk!
Welcome to forums!
You have mentioned that there is 7.5 years remaining on the loan. In such a situation and at this age, it does not make much sense to refinance the loan for a 15 year term period.
Feel free to ask if you've further queries.
Sussane
Welcome to forums!
You have mentioned that there is 7.5 years remaining on the loan. In such a situation and at this age, it does not make much sense to refinance the loan for a 15 year term period.
Feel free to ask if you've further queries.
Sussane
Thanks Sussane
"At this age." Indeed.
I was inclined to agree with you but I did not know how much the refinance would cost in terms of points/fees so I was unsure if it made sense in my case. As I suggested, whatever monies I might save would be a plus but not essential. In part, my search was influenced by suggestions that, if rates are two or more points below one's existing rates, it makes sense to refinance. I shall stay put.
Thanks again.
Monk
"At this age." Indeed.
I was inclined to agree with you but I did not know how much the refinance would cost in terms of points/fees so I was unsure if it made sense in my case. As I suggested, whatever monies I might save would be a plus but not essential. In part, my search was influenced by suggestions that, if rates are two or more points below one's existing rates, it makes sense to refinance. I shall stay put.
Thanks again.
Monk
you might be able to get a fixed home equity loan for 8 years with a rate of 3.99% and a monthly principal and interest payment of $304.62 for $25,000. go to the pentagon federal credit union website and contact them on this. there also shouldn't be any fees for this type of loan.
if you can get this, it would save you about $75 a month and pay off the loan within 6 months of where you are at now.
if you can get this, it would save you about $75 a month and pay off the loan within 6 months of where you are at now.
