2/29/2008

ADVENTURE IN ADULTHOOD: THE REFI

With interest rates as low as they are, we are considering refinancing our mortgage. It's the sort of thing that I hate doing. But it could save us a bunch of money, so we started the process. No, we are not one of those desperate borrowers who has to refinance because the loan was so bad in the first place. Our situation is good, but we want to make it better.

Currently we have a 30-year fixed VA loan at 6%. We are 6 years into the loan. After our loan was sold again and again, it is currently with Wells Fargo. By all intents and purposes, this is pretty good. But with all the talk of falling interest rates, we had to investigate. Also, we're getting flooded with junk mail about refinancing.

After getting our credit checked and a ballpark appraisal done, the rates just aren't low enough to justify it. But we did get some good news, our home is worth a lot more that we expected. But we also got some baddish news as well. Due to the rainstorms back in December, our county is considered a federal disaster area. We were nowhere near any disaster, but this would have increased our costs - since we have to pay for a full-blown appraisal, so they can verify the house is there and not all messed up.

There's more talk of the interest rates falling again, but until then, we're going to stay put.

1 comment:

Yvett said...

We were thinking about the same thing. Our rate is low as it is, but now we're married and since my credit score is better, we thought to put it on mine. Since we haven't been here long enough, it turns out it wouldn't be a good idea to refinance now. Sucks. The rates are supposed to still drop, so maybe when we've been here a year.