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Refinance Everyone tells you how you should, but how do you know if it is time? Every situation is different and so many people will tell you "you can do it without it costing you anything". Do you hear that little voice in your head saying that if it doesn't cost you anything there must be a catch? There is, the truth is everything costs something, even the love of a friend or a pet. It may be as simple as feeding the pet everyday or the compromise of meeting a friend in the middle when deciding what to do. It may seem well worth the cost but there is an up and down side to everything. The up side to a refinance can be a lower payment, or less years if you decide on a 15 year as opposed to 30, or less interest rate. Every ad seems to push interest rate, the truth is you really need to find someone you trust or do a little math to determine if just reducing the interest rate is worth it. Because even though it may not cost you anything up front, if the fees are built into the loan, you are still paying them. Don't get me wrong, this can be great as opposed to paying the cost up front, but you must remember it is money you would not have had to pay out and because it is tacked on the loan it is also being charged interest, even though a low amount it is an extra cost. So it would be a good idea to look at how long it takes to save the same amount of money it will cost you to refinance.
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