Author Topic: Refi 15 year to 30?  (Read 714 times)

mrigney

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Refi 15 year to 30?
« on: August 17, 2019, 11:21:10 AM »
So I have a 15-year mortgage. 3.125%. Original balance was $135k, now at $100k. With 30 year rates dropping so much, at what point would you refi down to a 30 year? Currently local credit union offering 3.5% on a 30-year. At some point, seems like I should refi back down to a 30-year.

mozar

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Re: Refi 15 year to 30?
« Reply #1 on: August 17, 2019, 01:08:49 PM »
What is the exact amount of your mortgage? A lot of places won't refi under 100k so 99,990.00 won't cut it.
How many years left on your mortgage?

Finances_With_Purpose

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Re: Refi 15 year to 30?
« Reply #2 on: August 21, 2019, 07:59:26 PM »
No point, unless I really needed payment flexibility.  Why sign up to pay more interest?  3.125% to 3.5% plus pay fees?  No thanks.  Or until the 30-year rates were well below the 15-year rates.  Because the refi costs affect things substantially.  As the other poster said, you'd need to be more specific than that. 

If you need payment flexibility that badly, then maybe consider it.  But that's really the only reason unless rates *REALLY* drop, in order to make up for the added fees and so on.  (If 30-year rates approach 2.125% -- a point below yours -- then you may get to a point where it starts to make sense no matter what; you can always just pay more each month if you have the discipline to do it, and then come out ahead.) 

Goldy

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Re: Refi 15 year to 30?
« Reply #3 on: August 24, 2019, 07:02:43 AM »
The only time I have seen this make sense is if someone was nearing retirement and wanted to reduce their expenses and therefore income to qualify for ACA etc.