Lunch with my father-in-law:
He mentions he has a mortgage on his current home at 5.375. (His second home, which he bought this summer intending to move there when he retires to the Cape in 3 years is 3.5% at least, if you gloss over the fact that he is paying for 3 years of a house he's not using and not renting out. Or giving us keys to vacation there.) He's almost 70, so I'm not even sure why he has a mortgage still.
Me: Have you thought about refinancing?
Him: Refinancing costs money
Me: Talk to a mortgage broker. We have friends that gave up a little on the interest rate in exchange for the lender paying the fees. You might also do one with an arm, if you are planning on selling the house in a few years.
Him: But I need the mortgage deduction.
:facepalm:
Husband & I cringe. I give up. He gamely soldiers on.
DH: You know dad, that you are paying money to get the mortgage deduction. It's better not to pay the money at all, than to get a deduction on part of it.
FIL changes subject.
We tried to talk him into refinancing about 2? years ago when he wondered if he should consider it.