Should You Refinance Now?

February 14, 2013

Time to refinanceRefinancing has many advantages, especially given the current low mortgage rates, but it is not for everyone – the refinancing process can get expensive with additional closing costs; if your institution allows you to refinance at all. The benefit of an overall lower interest rate can lead to great savings though, so it is a risk-reward scenario that should be judged carefully, and the Equifax experts are here to help with the article, “

FAQ: Should I Refinance?

Today’s low rates require your credit to be in the ideal range, so do not expect to secure them without a credit score greater than 720. If your credit score has been rising over time, then you could stand to lose a percentage point or more off of the interest on your loan. You should talk to your mortgage company or another broker to compare options and offers, but be sure to apply and make comparisons quickly. This is because if you spread them out, you may lose points on your credit score for too many hard inquiries on your credit report over time.

If you only have a small amount left on your mortgage – say $50,000 out of a $350,000 mortgage – you may be out of luck because there is little incentive for a bank to make you that small of a loan. In that case, you will want to focus on paying off your loan as soon as possible to cut down any remaining interest and get closer to living debt-free.

For more information on refinancing and other financial topics like

preventing identity theft, see the Equifax Finance Blog.

About The Author

Read All Stories By Mitch Levinson

Mitch Levinson is the author of “Internet Marketing: The Key to Increased New Home Sales” published by BuilderBooks. He is an Internet marketing expert with expertise in search engine optimization, website development, email marketing, social media and CRM consulting services. He is known for creating effective programs that can be tracked through analytics to prove effectiveness and ROI. Mitch is founder and president of MLC New Home Marketing and MLC FlatFee Realty, as well as managing partner of mRELEVANCE, LLC, a Marketing, Communication, Interactive agency with offices in Chicago and Atlanta. He currently leads the Chicago team. A Multi-Million Dollar Sales Producer who earned an MBA in Computer Information Systems and eCommerce, he brings a unique perspective and experience to the field of real estate communications. Mitch combines the two interests in order to help home builders and developers gain a competitive advantage through the Internet and technology. When he isn’t behind a computer, he enjoys participating in sports and coaching his kids’ teams. Mitch resides in Arlington Heights, Ill., a northwest suburb of Chicago, with his family, which includes two rambunctious labs. Visit my Google+ profile.

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