Financial Fitness with Alan Akina - Refinancing My Mortgage

19 Oct 2011 · 2 min

Watch on YouTube

1:31

In this KHON 2 Wake Up Today segment, Alan Akina addresses whether homeowners should refinance their mortgages amid record‑low rates. He stresses that refinancing decisions should be driven by hard numbers, not emotions, and outlines the four major fee categories—lender fees, third‑party fees, prepaid/escrow fees, and government taxes/fees—that affect the true cost of a refinance. Akina walks viewers through a DIY evaluation: gather the current mortgage statement, set aside an hour, use an online mortgage refinance calculator to input the numbers, and compare the total cost against the current loan. He directs the audience to KHON 2’s website for additional tips and tools, concluding with a friendly sign‑off.

Mortgage rates are at record lows, but is refinancing right for you?
Alan Akina looks at the issue in today's Financial Fitness.
Good morning, gang. Should I or shouldn't I refinance my mortgage? That is the question. With the mortgage rates dropping to historic lows, it's a very important question that needs to be answered correctly. So here are a few suggestions to consider before you make a move. First, remember that refinancing is all about the numbers. The numbers don't lie, and knowing this will help to keep your emotions in check. Secondly, how will a refinance reduce the cost of your loan? It's not about just reducing the interest rate and lowering your monthly payment. You should think about all of the fees associated with the refinance as well. There are 4 major fees to know about: lender fees, third-party fees, prepaid and escrow fees, as well as government taxes and fees. I suggest that you conduct a personal mortgage refinance evaluation. To get started, get out some paper, get a calculator and your current mortgage statement, and block out an hour of quiet time. Next, Google mortgage refinance calculator, find a good one, and enter your numbers. This should give you a good start to figuring out if a refinance is or isn't your best option. You can find these refinancing tips on KHON 2's website. For Wake Up Today, I'm Alan Akina. See you on Thursday.