This is something we haven't yet done. Each time the numbers were crunched, it was not worth our while. This time the number crunching says it is worthwhile. I'm very nervous as I don't know the process. I did a prequal a little while ago with a big lender and will talk to them later today.
We have 10 years left on our loan (due to prepayment) and at the current rate, we can take the 30 year, prepay the difference we are saving, and pay the new loan off even earlier. The upside being that it will allow us to cut our cost of living substantially should we hit hard times in this economy.
Wish us luck- Feel free to offer any advice.
Going to Try and Refi
February 3rd, 2009 at 03:17 pm
February 3rd, 2009 at 03:22 pm 1233674552
February 3rd, 2009 at 04:03 pm 1233676997
February 3rd, 2009 at 05:02 pm 1233680571
February 3rd, 2009 at 06:37 pm 1233686241
February 3rd, 2009 at 09:35 pm 1233696909
KellyB- that was one of my first questions and also one of the reasons I wanted to go with a bigger, reputable lender.
I did the application this morning and locked 4.8%, about which I am thrilled. Hopefully there won't be any problems encountered during the underwriting process- I can't see why there would be. Our new required payment will be less than half the current, and if we pay the P&I that we have been to the new loan, it will pay off 9 months earlier than our current loan. Since our loan to presumed value ratio is good, they aren't requiring an escrow account either. If all goes well with the process, I will be a very happy camper!