Posts on home mortgage
Otherwise, a longer term will let interest compound longer, adding extra money to the total and potentially offsetting the savings you would have seen from a refinance. ) Also calculate the difference between your current monthly payments and your monthly payments after the refinance. Then work out how much the fees and taxes of a refinance will add to the total. These "hidden" costs add up: A basic refinance frequently costs $2000 to $3000, and could cost even more. When you know exactly how much refinancing will cost, divide it by the difference between your current monthly payments and your future monthly payments.