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aliwnec10
mom of 3 boys
Member since 4/06 11426 total posts
Name:
Ali
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WWYD refinance?
WWYD?
So we currently have an ARM mortgage because at the time we built the house, we had to. We also have a HELOC. Long story short, my inlaws took out a HELOC on their house when we built ours because we needed 20% cash to buy land/build. So they took one out on their house and gave us the money and we paid their HELOC. We then took out a HELOC on ours to pay off theirs. So I want to roll it all into 1 mortgage at a fixed rate.
My question is, the rates are so high right now. I got an quote for a refinance and we’d be paying exactly what we pay now. Of course the risk with an adjustable rate, is them going up and up. Should we do it so that we’re at a fixed rate and then whenever the rates go down (if they do), refinance again?
Opinions please? Thank you.
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Posted 1/16/19 9:46 AM  |
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JandJ1224
Member since 6/06 5911 total posts
Name:
Jannette
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Re: WWYD refinance?
I would likely lock in a fixed rate. You also have to consider there will be closing costs which you may need to add to the loan.
For me the idea of adjustable would make me lose sleep not knowing how much payments would be long term.
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| Posted 1/16/19 10:29 AM |
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MrsO
Big Brothers to Be
Member since 1/07 4521 total posts
Name:
Maureen
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Re: WWYD refinance?
You may want to discuss with a mortgage broker and get there feelings on where mortgage rates are going? If the rates continue to climb you will be hurt with the arm - when does your arm due?
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| Posted 1/16/19 10:33 AM |
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Re: WWYD refinance?
Every mortgage person/economist I know is predicting rates will continue to rise. And in the bigger picture, while they've gone up, they are still historically very low.
When I bought my house in 2008, the best rate was like 6.125%!
If you plan to be in the house long-term, I would definitely go with the fixed rate. If rates drop so low, you can refinance, as you said. But the more likely picture is that they will continue to rise (or at least fluctuate), and that can drastically affect payments, and make it hard to budget.
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| Posted 1/16/19 10:54 AM |
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NYCGirl80
I love my kiddies!
Member since 5/11 10413 total posts
Name:
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Re: WWYD refinance?
Posted by Christine Braun - Signature Premier Properties
Every mortgage person/economist I know is predicting rates will continue to rise. And in the bigger picture, while they've gone up, they are still historically very low.
When I bought my house in 2008, the best rate was like 6.125%!
If you plan to be in the house long-term, I would definitely go with the fixed rate. If rates drop so low, you can refinance, as you said. But the more likely picture is that they will continue to rise (or at least fluctuate), and that can drastically affect payments, and make it hard to budget.
All this. Mortgage rates are higher than they were a year ago, but they really are not "high" now. In a year the likelihood is they will be higher than they are now.
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| Posted 1/16/19 12:11 PM |
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VickiC
Rocking the party
Member since 5/05 4937 total posts
Name:
Vicki
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WWYD refinance?
I would refinance now and get into a fixed rate ASAP. Rates will only continue to rise. I would also look into a credit union as they tend to have lower rates. BFCU rates right now are at 4.375% for 30 year fixed. That is really good considering my rate is 3.5% from when I refinanced in 2012.
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| Posted 1/17/19 10:35 AM |
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aliwnec10
mom of 3 boys
Member since 4/06 11426 total posts
Name:
Ali
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Re: WWYD refinance?
Posted by VickiC
I would refinance now and get into a fixed rate ASAP. Rates will only continue to rise. I would also look into a credit union as they tend to have lower rates. BFCU rates right now are at 4.375% for 30 year fixed. That is really good considering my rate is 3.5% from when I refinanced in 2012.
4.6%. They are actually who I went through. 
Okay going to go ahead with it. I knew it was the right choice but needed confirmation. Thanks ladies!
Message edited 1/17/2019 10:45:13 AM.
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| Posted 1/17/19 10:44 AM |
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LSP2005
Bunny kisses are so cute!
Member since 5/05 19458 total posts
Name:
L
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Re: WWYD refinance?
Posted by aliwnec10
Posted by VickiC
I would refinance now and get into a fixed rate ASAP. Rates will only continue to rise. I would also look into a credit union as they tend to have lower rates. BFCU rates right now are at 4.375% for 30 year fixed. That is really good considering my rate is 3.5% from when I refinanced in 2012.
4.6%. They are actually who I went through.
Okay going to go ahead with it. I knew it was the right choice but needed confirmation. Thanks ladies!
in historical terms 4.6% is an excellent rate. I would think long term and figure out how long you intend to stay in your current home.
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| Posted 1/17/19 1:11 PM |
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