Refinancing and consolidating debt
You can do the same by using your own, real-life numbers and this calculator from my FICO.Let’s say you’re refinancing a 30-year mortgage with a 5.4% interest rate.Plus, if you refinance, you’ll be paying on a mortgage for an additional ten years before you own your home outright.
Example: Your home is appraised at 5,000 and you have 8,000 and 25 years remaining on a 30-year fixed-rate mortgage.Because each situation will have varying interest rates and fees, it’s important to run your own numbers before making a definitive decision.While we can’t run your numbers for you, we can take you through the mathematical process through an example.So, factoring in the total interest you paid over that 10 year period on the original loan and the interest you will accrue over the 30-year span of the new refi loan, you will pay a total of 1,720.By refinancing, it looks like you will pocket ,657.71 in savings. Before you can actually refinance your existing mortgage, you could face an estimated ,077 in fees, My FICO’s calculator shows.
You may also have a long list of home repairs that need to be addressed.