How to Calculate the Breakeven Point of a Refi
Getting the ball rolling on a mortgage refinance takes money in the form of closing costs, so how long does the ball have to roll before the savings kick in?
The saying goes, "It costs money to make money." This is true with refinance loans. Although securing a lower interest rate will definitely save you money, you have to pay closing costs to set up the loan. Whether you pay them up front (recommended) or roll them into the loan balance, closing costs represent real money you have to pay—jus...
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