“You have very healthy equity in the property. Is it in a market with heavy downside pressure on resale value of late, moderate declines, or reasonably stable? If you’re in a former bubble area, I’ve heard of 30% equity required for refi, on a current appraisal.”
I think we’re still losing value here due to the economy, and the lack of jobs in the area. But what I’m losing is pennies compared to other areas. It’s an older 2100 sq ft home in an established area. I’d say we’re pretty stable here as far as real estate values. I can’t see the home losing much more than another $5k-$10k in value.
Well, then, provided that your debt to income, assets and employment history are all good, I don’t see any reason why you wouldn’t get the best rate out there. Another poster mentioned the Fed, and they did make a peculiar statement about drivng down mortgage rates. How long is the lock-in for this one, and does the lender charge for it? Do they have a “float down,” meaning that you can get a better rate, if it’s better than the locked rate? All of this would play into any decision, if you’re not dead certain that it’s the best thing to do right now.