No closing costs refinance
Thursday, December 11th, 2008No closing cost refinance
With fixed rates so low right now, many homeowners are doing a refinance where the Lender pays all the closing costs. If you are currently at 6.250% on your mortgage, and you can get .250% or more lower, for free… why not?
Some quick rough math; if I owe $300,000 and I save .250%
.250% x $300,000= $750 interest
$750 / 12 months= $62.50/month interest
Actual payment will go down $48.50/month
Payment at 6.250%= $1,847.15 principal and interest
Payment at 6.000%= $1,798.65 principal and interest
Yes you will re-amortize your loan for 30 years. However, you are still paying a lower rate. Have your loan officer print an Amortization Schedule so you can see how much to pay every month and stay on track with your previous loan.
You were 4 years into your previous loan? Your Loan Officer will show you what to pay each month so you will still pay it off in 26 years. Even better, keep paying what you were already paying, and have your LO show you how fast this will pay your mortgage off.
Contact me to see if you can lower your rate for free |
Mark Zaidan, Choice Finance®
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