Comments on: Should We Refinance Our Mortgage?

By: Anonymous

Anonymous — Mon, 09 Nov 2009 16:54:53 +0000

Calculate what your monthly payment is to pay off the loan by the original loan date so you've both taken advantage of the lower interest rate and stayed on schedule for pay off. You may find you're still saving a small amount of money to put towards savings but for me, the concept of having a paid off home is more appealing than most anything.

Let us know what you decide to do, please. I'm curious...

Andrea

By: Anonymous

Anonymous — Thu, 05 Nov 2009 20:20:10 +0000

don't forget to factor in inflation… If the government continues to "monetize our debt", tomorrow's dollars become worth less and less. This is a very important part of the equation that most people forget to factor in. Our dollar went from being worth 86 U.S $ INDEX (NYBOT:DX)at the start of last November to 75.7 today. As the dollar becomes worth less and less, you are paying back the loan with money that doesn't go as far. In fact, in my opinion, you are MAKING money by extending the life of your loan. True inflation is quite a bit above 4.5%. Good luck with whatever you choose!

By: Pam

Pam — Tue, 03 Nov 2009 16:20:36 +0000

Couldn't you refinance and just continue to make your current payment? Surely that would cut time off the payoff, even if in theory it would be 15 more years.

By: sara l

sara l — Mon, 02 Nov 2009 15:12:15 +0000

If you refi would you keep making bimonthly payments? Or pay what you're currently paying each month? I don't know which calculator would work for that but it seems if anything you'd pay it off even sooner.

By: Sense

Sense — Mon, 02 Nov 2009 07:04:04 +0000

Have you factored in the emotional cost that you outlined here? It sounds like we're talking a few thousand dollars (max) vs. a paid off house by 45…I don't own a house, but with these big decisions where logic doesn't help, I try to go with my gut!