Posted on: 06th Dec, 2010 06:50 am
We owe $180,000 on a first mortgage and 90,000 on a second. House appraises less than needed to re-finance both into one loan. Current rate is 5.6% fixed for 30 years...we have 23 years left to pay on it. Can re-finance for about 4.5% and would do so for a term of 20-23 years with about $3000 in closing costs and an additional $3000 added for a new escrow account. We will be in house for many years.
We are only paying an additional $50 per month towards principal, but are starting to see our balance go down quicker now that we are almost 8 years into the mortgage. Should we re-finance? Motivation to re-finance is that we want to buy a small rental property and it would lower our debt to income enough to do that. Want to start investing again on a small scale.
We are only paying an additional $50 per month towards principal, but are starting to see our balance go down quicker now that we are almost 8 years into the mortgage. Should we re-finance? Motivation to re-finance is that we want to buy a small rental property and it would lower our debt to income enough to do that. Want to start investing again on a small scale.
hi forestdancer!
welcome to forums!
if you don't have the required equity in your property, you won't be able to refinance the existing mortgages into one. if you have the required equity, then it will be a good option to refinance the mortgage as you plan to stay in the property for a long period of time.
feel free to ask if you've further queries.
sussane
welcome to forums!
if you don't have the required equity in your property, you won't be able to refinance the existing mortgages into one. if you have the required equity, then it will be a good option to refinance the mortgage as you plan to stay in the property for a long period of time.
feel free to ask if you've further queries.
sussane