Refinance

[smokin5]

To answer your question, jmsremax, it's a fixed rate - I'd never do an ARM.

My theory is to reduce the monthly amount as much as possible, given the uncertainty of the near future. Then, when the economy improves & I've got extra cash, I have the choice of making additional principal payments, thus paying it off earlier. This way, the option is mine.

As far as closing costs, mine were VERY low, estimated to be about $1,400.00, as the lender is paying the discount points for me.

[Mugen910]

Originally Posted by smokin5

To answer your question, jmsremax, it's a fixed rate - I'd never do an ARM.

My theory is to reduce the monthly amount as much as possible, given the uncertainty of the near future. Then, when the economy improves & I've got extra cash, I have the choice of making additional principal payments, thus paying it off earlier. This way, the option is mine.

As far as closing costs, mine were VERY low, estimated to be about $1,400.00, as the lender is paying the discount points for me.

people are so worried about ARMS being the worst thing for them but in reality the worst thing is if you forget that your interest rate is resetting. You can own your home with a lower interest payment for 5yrs on an ARM. You just have to make it down when your restructuring will be coming and refi before hand.