How Do You Refinance An Adjustable Rate Mortgage?
Adjustable rate mortgages offer a lot of flexibility for the homeowner. They are especially good when interest rates are low and going lower. When the rates turn north your house payment goes up at each adjustment period. Refinancing an existing mortgage can save you money. Read on to learn how to refinance an adjustable rate mortgage. Look for the best interest rates when you are ready to refinance. Banks and financial institutions are competitive. Talk with a mortgage loan specialist at several banks in your area to get a feel of the current interest rate environment before you refinance. Know the new adjustment rate and fixed time periods. Interest rates change over time. Your payment is based on the current rate and is readjusted after mutually agreed intervals. Three-, five-, seven- or 10-year fixed intervals are common. After these periods the rates adjust either higher or lower. Take closing costs into consideration. If your intentions are to sell the house in the near future de
