Identify Your Needs

I want to determine if I should refinance my home mortgage.

Is it time to refinance? With interest rates fluctuating, you might think it’s time to seek a better deal on your home mortgage. Before you take the plunge, however, talk to your Raymond James financial advisor about the costs associated with refinancing. You may find savings are not worth the costs.

Consider these factors:

Spending a dollar to save a dollar?

Mortgage refinancing is expensive. Charges may include loan origination, application, credit check, appraisal and attorney fees, as well as title insurance, transfer taxes and more. If that isn’t enough, the lender can also charge discount points that amount to prepaid interest. After adding it all up, the total closing costs can easily run 4% to 5% of the loan amount. That’s a lot of money to spend in order to save a few bucks down the road.

Of course, if the savings are significant, the closing costs may be a small price to pay. Check out the latest mortgage rates offered through Raymond James Bank to find out how much you’ll save.

Stay put once you sign.

Choosing to refinance is not wise if you’re planning to move in the near future. It generally takes at least three years to fully realize the savings from the lower interest rate, due to the costs of financing.

Should you refinance?

Refinancing your home mortgage can save thousands of dollars over the long term if done properly. Find out what is appropriate for your situation by contacting your Raymond James financial advisor today or use the Office Locator to find our office(s) nearest you.