Is it time to refinance your mortgage?
Abstract: After the Federal Reserve Board slashed interest rates last spring, it triggered a new wave of mortgage refinancing applications from homeowners seeking to lock in the historically low borrowing costs. But it’s important to review the pros and cons for one’s specific situation before taking the refinancing plunge. Homeowners need to ask themselves questions about their existing mortgage rate and whether it’s fixed or adjustable, along with how long they’ve had their mortgage and how long they expect to be in their home. And strong credit is more important than ever. A sidebar to this article looks at loan-to-value ratios.