1. You can get a new rate that’s at least 0.3 of a percentage point lower than your current rate.

In the past, the rule was it wasn’t worth breaking your mortgage for the new one unless the new rate was at least two percentage points lower, but with mortgage rates at historical lows, even a small drop of 30 basis points can mean paying hundreds less every month.

2. You want to pay off your house sooner.

You can refinance to shorten the length of your mortgage and pay less in interest over the long run. Refinance at a lower rate, and you’ll save even more.

3. You have a lot of credit card debt.

If you have enough equity in your home, you can refinance and roll your credit card debt and other loans into your mortgage. That can mean a drop in the interest rate from 19% to 3% and thousands of dollars in savings.

4. You want to convert a variable-rate mortgage into fixed rate mortgage.

Many economists say interest rates will be heading up soon. If you want to lock in, now’s the time. As of mid-November, the five year fixed rate was only 3.14%- close to its lowest point ever and just .24 basis points higher than the variable rate.

5. You can’t afford your payments.

Lenders don’t like foreclosing on homes so they’ll often help you refinance instead. Depending on the kind of mortgage you have and the amount of equity you have in your home, you may be able to extend the term of your mortgage loan and reduce your monthly payments.
Through all my years in the Mortgage Industry, I have always taken pride in my clients future, and striving for their ‘POSSIBLE’!