Generally, it’s a good idea to get the lowest FIXED rate possible, but you also have to consider your situation.  If you’re in the first year of an adjustable rate mortgage (ARM) and you plan on moving in three years, it probably doesn’t make sense for you to refinance.  However, if the rate on your [...]

Most mortgage loans have either a fixed interest rate or an adjustable interest rate.  With a fixed-rate mortgage, the interest rate never changes and your payments remain stable throughout the life of your loan.  With an adjustable-rate  mortgage (ARM), the interest rate changes at regular intervals-usually once every year-based on a formula that uses a market [...]

The new Mortgage Disclosure Act has new disclosure periods effective July 31, 2009.  One change is that it now  includes any dwelling purchased or refinanced by a consumer, not just a consumers principal dwelling.  Some other signifcant changes include: 1.     Requires a 7 business day waiting period prior to consummation. 2.     If a change in loan [...]

If your 5 year to 10 year adjustable rate mortgage is due to reset in 2009 and 2010, you may not want to refinance. Adjustable-rate mortgages have been adjusting downward and there are no closing costs on a ARM adjustment like there would be for a brand-new fixed rate mortgage. If your ARM is due [...]