President Obama discusses a proposal to help more responsible homeowners refinance their mortgages at today’s historically low interest rates. February 1, 2012. Barack Obama For President 2012 www.sodahead.com
Question by Pamela P: To refinance or not as I am pay nearly half toward the principal every month?
I bought a home 3 yrs ago and have since paid it down almost in half. Now I am going through a divorce and am thinking about refinancing. The original loan interest rate is 6.375 and I can refinance for 5.2%. My question is should I refinance as I am paying almost half my monthly payments in principal or should I refinance and start all over again knowing my principal will be nearly nothing. Any advice will be appreciated.
Best answer:
Answer by Alterfemego
Pamela, we can’t answer that question because we don’t have all your financial information to consider. Only you can conclude a answer based on information from lenders and what programs they have available to suit your financial situation. I’d say that it may be a good time for you to refinance only based on the current rates and what your rate is at 6.375. Some lenders may be able to do better than 5.3%, so check around. Consider FHA financing as well.
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