Posted by JPiper on October 25, 1998 at 11:56:05:
It sounds like your existing mortgage is an adjustable rate mortgage.
My personal opinion would be that you should refi in order to lock in a long term fixed rate. These rates by the way are as low as we have seen them in decades. One reason you wouldn?t want to do this would be if you were clairvoyant and KNEW the future course of interest rates was downward. Certainly no one here KNOWS this, if anyone anywhere knows this. To not lock in would expose you to the risk that interest rates MIGHT rise.
The other reason you might not want to lock in would be that you are going to sell the house in the next couple of years, in which case the costs of a refi might not be justified.
JPiper