Determine If You Should Refinance
This week, you can
• Understand the basics of refinancing
• Learn about second mortgages, home equity lines of credit, and re verse mortgages
• Find out whether you should refinance your mortgage
INTEREST RATES GO UP. INTEREST rates go down. The mortgage payments you make every month probably account for a major block of your budget, and as interest rates go up and down, so too does the cost of your mortgage if you have an adjustable-rate mortgage, or ARM. Most people have a conventional mortgage, with a fixed interest rate (say 6 or 7 percent) for a fixed period of time (most often thirty years). If you have a conventional mortgage and interest rates go up, you are sitting pretty paying yesterday’s ...