Hi Tommy. From the situation you just described it would definitely pay for you to look into your refinancing options. You could either combine both mortgage into one loan or reduce the term. Rates are definitely at historic lows and we look to put you in the best loan possible. Freedom Mortgage is a Direct Lender and we fund loans in all 50 states. Please send me an email at adennie@fmbranch.com so I can go over your options. Thanks.

From what you have stated above you would see a savings with the current low rates that are available with those terms you are looking for. I would like to talk with you to discuss a few other options and see if I can help you.trivinesolutions.com

Absolutely if you plan on staying in the home for over two years. That's when you should recoup your closing costs and start saving money.

With the interest rates that you noted, a refinance could very well reduce the overall monthly payment. I would want to know how long you plan on being in the home however because you still need to consider the costs of the refinance and how long it might take to recoup those costs. I would plan on working up an analysis that would include the idea of having the lender pay some of those costs instead of adding them to the loan amount as an additional comparison. Please call me at my office (253) 536-5626 so I can get a few more details and make sure that all options are provided to you.Gary

I agree with the other lenders. You're in a good position to see some significant savings. The term/years you would want to refinance into would all depend on your financial goals. Personally, I've never heard the rule of having to drop your rate by 2% to make it worth it; I have heard it at 1%. Really, it's all relative to your loan size, terms, how long you've had your current loan, and even more important, how you plan to use the loan to meet your financial goals.

I wonder where the 1% or 2% myth come out from. So many people told me that, but no one knows the source. This is the most ridiculous mortgage myth that is out there. Just as quick example - if you are going with no cost refi you will benefit even saving 0.125% off your rate as you can generally end up paying off your loan 6-7 months faster.. Each situation should be considered individually. In your case the recommendation is definitely go for it. If the value of the property is high enough - you will benefit a lot from this refi.

it is worth to refinance and combine both mortgages to one if your second is a heloc and is intrest only and if closing cost is not insaine and do reduce the term if not it is not going to help in long run if your goal is to pay off this mortgage soon. i am not liscenced in WA state just a tip for you.