would it be worth it to refinance?

[wantvba2c]

Just wondering if any one would have any idea as to if it would be viable for us to refinance.

We are in a fixed rate homeloan with CBA / Colonial at a rate of 7.35% for another two years. The balance of our mortgage is about $148000.

I know that there will be fees and penalties if we pull out of the loan now and am just wondering if anyone knows if it would be worth it to get a lower interest rate.

[JosieJo]

It's too hard to say without getting the amount they will charge you. Phone them, find that out, and then work out what that would calculate to over the next couple of years. Rates are on their way back up, and the fixed rates are not that low at the moment compared to the floating, and having on floating is obviously a bit risky. Anyway, I recommend getting the sums, then doing a spreadsheet to work out how you would stand and then making an informed decision :-)

[MsMummy]

I agree with the PP. Ask the bank for the exact break cost fee and other amounts to release the mortgage, and get all the fees from the new bank versus the different in interest.

We just fixed at 5.79% for 2 years, which jumped even from when we first started looking a few months ago.:(

I know somebody who fixed at 10% :eek: during high interest rates, and are now missing the record lows.... It's always a hard decision.

[andie_pandie]

Look as mentioned get the break cost for the current fixed, the fixed rates have moved up constantly over the last 2-3 months (banks blaming on rising funding costs).

Some of the fixed rates for the 2 years are already up around mid 6s and some 3 year rates over 7 already.

If you do break then the break out costs won't be as much as they would have been a couple of months ago however strongly suggest you really think about it. You may go through the break then refix only to find the rates go up during the process of doing the paperwork and then you may have done it for nothing.

[rony1434]

Hi everyone.
I was thinking of getting my car refinanced.
I have never done this before and yesterday while searching on internet i found a website http://www.720auto.com/ , Is this site is really good for refinancing of car loan with fair credit?

[garfield13]

We looked at doing this when rates were really low a while back (we are currently fixed at 8.49%) and it wasnt worth it. We were looking at fixing around 5% and had 2.5 yrs left. So the payout was around $20k.
We just decided to not to think about it anymore and just pay extra when we can & as soon as we are going to be unfixed hunt around for the BEST deal we can and never to be annoyed with ourselves for something kike this again:yes:
If you can get a good low rate locked in & are able to pay a fair amount extra each f/n then it may be worth it, otherwise moer than likely not, I think the boat has been missed on this now

[HollyHotLips]

As others have said, you need to get the amount they'll charge and they look at other home loans - can you really do much better than that interest rate?

Also,you may be paying a bit more than some other mortgages BUT you know exactly what your repayments are going to be for the foreseeable future... which can be a benefit in itself.