There are so many people who are unsure of whether or not they should refinance their mortgage. There are pros and cons to refinancing and the reasons behind refinancing your mortgage should be good. There was an article today at Walletpop called Top 10 Tips For Loan Refinancing. This was one of the best articles I have seen in a long time about refinancing. The author, Janean Chun, has some excellent and really valid points as to when and why you should refinance.
When refinancing your home, remember that it is your home. Make sure that refinancing is something you are doing that will have a positive effect on your finances. Make sure that you are doing it because you are sure that it will help you in the long run. Make sure that you are not doing it because “everyone else is.”
It’s your home and your money; make it your decision.
The traditional rule suggested refinancing if you could lower the rate by 2 points and if you planned to stay in the house for five years. That’s flexible, though, but be aware that a lot of lenders aren’t too eager to lend money these days.