Are current mortgage interest rates lower than what you’re paying? Consider refinancing! Lowering your interest rate can save you tens of thousands of dollars. Keep in mind, it takes some money up front to refinance. We’ll help you figure out if it’s worth that investment. Depending how long you plan to stay in your house, refinancing at an interest rate even a half percent lower can save you money. It’ll cost you about three percent of your mortgage value to refinance. So, if you owe a hundred thousand dollars on your mortgage, refinancing will take about three thousand dollars. But, look at the savings. If you reduce your interest rate one percent, in 20 years’ time you’ll save a whopping $19,000. Pretty enticing but it will take some work—sort of like you’re buying your home again.

Your loan officer may charge you an application fee which covers your appraisal and credit report. That runs about two to three hundred dollars. You’ll pay the remainder of closings costs when the new loan takes affect. Maybe you just don’t have the cash to refinance. Well, you can work your costs back into your loan. Doing that will increase your payments and reduce the overall benefit of refinancing. Some lenders offer no-cost refinancing. There are no closing costs, but the interest rates are slightly higher. Talk to a lender about taking advantage of today’s low interest rates. Use our mortgage calculator to see if refinancing is the right option for you