Posted on: 01st Dec, 2010 10:07 am
Current mortgage is 5.125, we are 8.5 yrs into a 30 yr fixed. Balance is $196,000 - house would appraise for $260,00. Is it worth it to refi or can we pay extra each month?
Hi j!
Welcome to forums!
Your query has been replied to in the given page:
http://www.mortgagefit.com/predeal/about47198.html#193547
Take a look at it. Hope it helps you.
Sussane
Welcome to forums!
Your query has been replied to in the given page:
http://www.mortgagefit.com/predeal/about47198.html#193547
Take a look at it. Hope it helps you.
Sussane
probably does not pay too much to refinance
to pay off $196,000 at 5.125% in 20 years, you would pay $1,307 a month principal and interest
if you could refinance to 4.375% with a $200,000 mortgage (i covered some closing costs), you pay $1,251 which is $56 less monthly. that is probably a break even on costs over 5 years and normally you want break even 36 months or less.
if you pay $1,562 monthly on current loan, it will pay off in 15 years.
if you refinance $200,000 at 4.00%, you would pay $1,478
which is less by $83 a month or $14,940 over 15 years
i would not pay the costs to refinance. you could, but, not an earth shattering experience
to pay off $196,000 at 5.125% in 20 years, you would pay $1,307 a month principal and interest
if you could refinance to 4.375% with a $200,000 mortgage (i covered some closing costs), you pay $1,251 which is $56 less monthly. that is probably a break even on costs over 5 years and normally you want break even 36 months or less.
if you pay $1,562 monthly on current loan, it will pay off in 15 years.
if you refinance $200,000 at 4.00%, you would pay $1,478
which is less by $83 a month or $14,940 over 15 years
i would not pay the costs to refinance. you could, but, not an earth shattering experience
