Should I Refinance?
Is the interest rate you are currently paying too high? Do you wish you could adjust your monthly mortgage payments?
Use the refinance calculator on my website to find out how refinancing your existing mortgage could benefit you!
This valuable tool can aid in your decision between sticking it out with your existing mortgage or refinancing. It takes a number of factors into account to provide you with the most accurate information possible.
For example, if your original mortgage loan has a term of 30 years and was made for $250,000 with an interest rate of 5% and you have already made 60 month’s worth of payments, you will be able to reduce your monthly mortgage payment if you refinance your mortgage for a new 30 year term and the interest rate is adjusted to 4.5%.
Assuming that your Federal Tax Rate is 26% and your State Tax Rate is 5%, you were most likely paying around $1,342.05 a month for your original mortgage. If you refinance to the new 4.5% interest rate, your monthly payments would decrease to around $1,163.21.
From this information, we can gather that you will lose roughly $1,492.06 on tax savings, your remaining principal balance will go up by $5,917.74 and you will also be responsible for closing costs on the mortgage refinance.
As you can see from this example, you would actually be losing close to $200 by refinancing to these mortgage options.
It is important to consider all aspects of your mortgage when you are deciding whether to refinance. I can help you find the perfect solution to help you save money in the long run.
Disclaimers: The information provided by these calculators is for illustrative purposes only. There is NO WARRANTY, expressed or implied, for the accuracy of this information or it's applicability to your financial situation. The default figures shown are hypothetical and may not be applicable to your individual situation. The calculated results are also intended for illustrative purposes only and accuracy is not guaranteed. There is not tax or financial advice given. Default and calculated tax data are for illustrative purposes only. Be sure to consult a tax or financial professional regarding your specific situation and before relying on the results.
Any hypothetical monthly mortgage payments reflect hypothetical Principal & Interest amounts rounded to the nearest dollar amount and may not include insurance, taxes, or other possible fees. These figures and rates are for educational purposes only and do not reflect an official mortgage loan offer.
We have many other Mortgage Calculators for you to use.
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