I’ve asked here before and got some conflicting answers, so I’m going to ask again lol. Does a refi seem worth it right now? Would be an IRRRL refi. Bought our house in August 2023. Will most likely be at this location for minimum of 2 more years.
Current loan balance $375k
Current payment $2,635.08 (including escrow)
Current rate 6.625%
Our lender just sent me an email with the following quote
New loan balance $388k
New payment $2,255.55
New rate 4.875%
The new payment sounds nice, but does that seem worth it to add 13k onto the loan? I keep reading about people doing IRRRL refi’s for like a couple grand, so what’s all that added cost here? Any insight appreciated.
Posted by MacDaddy228
2 Comments
There needs to be amplifying information. Like how long you plan on living/owning the house, loan length, how long you’ve been paying on the loan, can you afford the current payment, etc.
Not knowing anything else, your break even is about 33 months.
Only you can decide if it is worth it. Those closing costs sound very high though without seeing the documents.