Rates have been dropping recently, so I'm looking into a refinance. I'm scared that I'll refinance and then the reates will continue to drop. Anyone have any advice as to what they see the market doing? Will rates continue to drop?
Rates have been dropping recently, so I'm looking into a refinance. I'm scared that I'll refinance and then the reates will continue to drop. Anyone have any advice as to what they see the market doing? Will rates continue to drop?
Nobody knows that answer. It depends on how bad things get and nobody knows. My guess is they'll fluctuate at the current levels for the next year then start to climb as the housing market starts to recover. The thing you should consider is your current rate you're paying vs the current rate being offered. You can always refi again. I went from 8.5 30 year fixed down to 6.5 15 year fixed. Then they continued to drop and I refied again down to 5.25 15 year fixed. No regrets. I made out great. Took some cash out too and paid off all the credit cards the first time. Then took some more cash out and banked it the 2nd time. Nice to have a cushion so you don't fall into the cc trap again. Lot's of money saved on cc interest too.
Whag wrote:
Rates have been dropping recently, so I'm looking into a refinance. I'm scared that I'll refinance and then the reates will continue to drop. Anyone have any advice as to what they see the market doing? Will rates continue to drop?
Never try to time either the stock market or dropping mortgage rates. If your rate is a whole point above what you could get currently, then it's worth considering. Of course you will likely have to pay some closing costs (not always though). Do the math. You might be better off just throwing big chunks of money at the mortgage and getting it paid off sooner rather than refinancing. Depends on how much you have left.