There’s more to consider than just getting a lower mortgage rate. You should also weigh how long you plan to stay in your home. Use our refinance break even calculator, to determine the number of months to break-even if you refinance the loan.
People typically start thinking about a refinance when they notice mortgage rates falling below their current loan rate. But there are some other good reasons for refinancing your home loan:
- If you’re looking to pay off the loan quicker with a shorter term.
- You currently pay private mortgage insurance (PMI) and now you’ve gained enough equity in your home to refinance without the mortgage insurance.
- You’re looking to utilize your home equity with a cash-out refinance.