More info needed.. Specifically, what are your closing costs.. You are only saving about $37 per month.. so for example, if you have to pay $3700 in closing costs, then it would take 100 months (100 months x $37 = $3,700) for the refinance to pay itself back and before the savings benefits of refinancing kicks in... That's not a good deal since a lot can change in 8 to 9 years.. But if there are no costs.. meaning, you don't come out of pocket with anything AND no closing costs are being added to your loan, then in this example, you start saving from your very first payment.. so it might be worth it.. I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. William J. Acres, Lender411's number ONE lender in Arizona. 480-287-5714 WilliamAcres.com NMLS# 226347
I have to concur with Mr. Acres as the small loan balance affords you such little savings it would seem! Now if you could qualify for a 15 year fixed loan...that might make sense because of an even lower rate and cutting 4 1/2 years off of your loan.
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