Time To Refinance?
YES, Interest Rates are at an all time low, but think about what are the common reasons to refinance are: lowering interest rate, reducing length of mortgage, making home improvements, converting to an ARM, escaping a balloon provision with no conversion option, and/or consolidating debt.
Calculate the savings by looking at your current monthly payment, original cost of the home, itemized refinancing costs, monthly payment after the refinance, how long you plan to live in the house after the refinance, amount owed on the house, and break-even point (cost of the refinance divided by monthly payment savings).
Plan carefully when you refinance: Close your credit card accounts after consolidating debt. Make home improvements right away. Leave some equity in place for your security.