What is roll in refinancing?
(back to top) Rolling in your loan costs is especially attractive when refinancing. By rolling in your costs, you incur no expenses, thus you have no “payback period.” The payback period is the time required to recoup the cost of your new loan through the monthly savings you get from the difference between your new lower payments and your old ones. For example, if your new loan’s payments are $100 a month less than your old one, but you had to pay $1,200 to refinance, you’d have a payback period of 12 months before you’d actually start saving. By rolling in the cost of your refinance, your actual savings begin immediately. Rolling in your costs is particularly appropriate if you’re planning to sell or refinance again in a few years because, in this case, it doesn’t really matter that your loan amount is higher as long as you enjoy savings right now.
Rolling in your loan costs is especially attractive when refinancing. By rolling in your costs, you incur no expenses, thus you have no “payback period.” The payback period is the time required to recoup the cost of your new loan through the monthly savings you get from the difference between your new lower payments and your old ones. For example, if your new loan’s payments are $100 a month less than your old one, but you had to pay $1,200 to refinance, you’d have a payback period of 12 months before you’d actually start saving. By rolling in the cost of your refinance, your actual savings begin immediately. Rolling in your costs is particularly appropriate if you’re planning to sell or refinance again in a few years because, in this case, it doesn’t really matter that your loan amount is higher as long as you enjoy savings right now. What is the difference between an Equity Line of Credit and another type of second mortgage? An Equity Line of Credit is money in an account that can be
Rolling in your loan costs is especially attractive when refinancing. By rolling in your costs, you incur no expenses, thus you have no “payback period.” The payback period is the time required to recoup the cost of your new loan through the monthly savings you get from the difference between your new lower payments and your old ones. For example, if your new loan’s payments are $100 a month less than your old one, but you had to pay $1,200 to refinance, you’d have a payback period of 12 months before you’d actually start saving. By rolling in the cost of your refinance, your actual savings begin immediately. Rolling in your costs is particularly appropriate if you’re planning to sell or refinance again in a few years because, in this case, it doesn’t really matter that your loan amount is higher as long as you enjoy savings right now.
Rolling-in your loan costs is especially attractive when refinancing. By rolling-in your costs, you incur no expense and therefore have no “payback period”. The payback period is the time required to recoup the cost of your new loan through the monthly savings you get from the difference between your new lower payments and your old ones. For example, if your new loan’s payments are $100/month less than your old one, but you had to pay $1200 to refinance, you’d have a payback period of 12 months before you’d actually start saving. By rolling-in the cost of your refinance, your actual savings begin immediately. Rolling-in your costs is particularly appropriate if you’re planning to sell or refinance again in a few years because it will matter less that the actual loan amount is higher because you will immediately be able to enjoy to the savings.
