Warning About Money Questions

Mahalo Answers is a great place to start your research into Money questions, but it's not the final answer.

Mahalo Answers is not a substitute for informed professional advice. If you desire or require professional advice, please consult a qualified provider who is licensed in your state or country. You should always seek independent professional advice before acting on any opinion, advice, or information available on Mahalo Answers.

Next Question

Answered Question

davepamn

M$1.00 Funded By Mahalo ? | April 16, 2009 05:31 PM

What are the pros and cons to refinancing an ARM, now?

If ARM refinancing into a lower rate refinancing can be delayed.

What are the pluses and minuses to locking into a fixed rate now?

Interesting Question? Yes (0) No (0)

In Money |
|
Report |
Share

RSS

Best Answer Chosen by Asker

vandal913

April 16, 2009 05:57 PM

Taken from the linked article:

"If you are considering a refinance from an ARM to a fixed-rate loan, first ask yourself how long you see yourself staying in the home. It could be very worthwhile to take all the fees you would pay for a refinance and pay down your present principal. If you have credit issues that need to work out to avoid paying higher fees, it might be worth staying put until your credit is repaired."

Do you see yourself staying in your house for a long time? If not, then it might not make sense to refinance to a fixed rate.

Also, be aware that even on an interest only adjustable rate mortgage, you can still make extra payments towards the principal each month. Making regular payments to chip away at this principal in the ARM might be more wise to do rather than refinancing and being subject to fees and penalties.
Source(s):
http://www.akron.com/akron-ohio-real-estate.asp?aID=5152

Asker's Rating:

Helpful Answer?

(0)

(0) Tip vandal913 for this answer

Permalink | Report

Answer this Question

Ask a Question

Top of Page

Buy Mahalo Dollars with Credit Card or PayPal

Top Members

This Week All Time

cfinke
2nd Degree Black Belt
24029 Points
M$29.75 Earned
unwirklich
Purple Belt
2810 Points
M$145.85 Earned
lgalatea
Green Belt with a Purple Tip
1969 Points
M$52.86 Earned

See All

Most Popular Tags

mahalo(1421)

twitter(923)

iphone(449)

music(437)

google(324)

food(292)

internet(284)

beer(267)

online(265)

money(249)

apple(240)

movies(233)

aotd(233)

facebook(232)

answers(206)

health(197)

windows(192)

video(190)

free(190)

dog(189)

See All

Welcome New Members

aliciashei, November 15, 2009 02:30 PM
vfallenangelv, November 15, 2009 02:30 PM
philipsandarson, November 15, 2009 02:28 PM
lolisa, November 15, 2009 02:18 PM
neshel1, November 15, 2009 02:08 PM

Mahalo Dollars are the currency of Mahalo Answers.

Each Mahalo Dollar costs $1.

Once you earn more than 40 Mahalo Dollars, you can request to be paid via PayPal. Each Mahalo Dollar is currently worth $0.75 when paid out via PayPal. Learn More