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Is My Mortgage Rate
Too High?
In the overall
scheme of things most people don't worry about their mortgage rate.
I mean let's be honest when you wake up in the morning you don't ask
yourself that question "Is my mortgage rate too high?"
Why do you
suppose that is? Could it be most people are intimidated by the
thought of having to go thru the process again-a process that
probably wasn't all that much fun to begin with? Could it be that
subconsciously it was painful to get the first loan and who needs
more pain? Could it be that most people are not very good at
financial matters and just put this issue on the back burner? Or is
it just in the overall way things go in your day to day life there
is little room for much else.
There is probably a little bit of truth in all of the above but
seriously that should be no reason to occasionally do a little
mortgage rate checkup and see if your mortgage rate is too high.
What's in it for you? Literally thousands of dollars! Do you
remember looking at those closing papers at the loan closing and
seeing that the cost of the loan was higher than the cost of the
house? It is a scary thought-yet true.
There are several times when you should look at your mortgage rate
to see if it makes sense to refinance your house.
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If
you've had your house for more than five years it probably isn't a
bad idea just to check and see where you are and do a rate
comparison.
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If
mortgage rates are going up and you have an adjustable rate mortgage
(ARM) with a convertible provision that allows you to go to a fixed
mortgage rate loan.
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You've had your house for 15years or more it might make sense to
look at the market to see what your options are-there might be a
better mortgage rate out there that could save you money.
It doesn't cost
anything to look except your time. The upside is you might be able
to save yourself a lot of money for the effort.
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