Is it a wise decision to consolidate my 1st and 2nd mortgage by refinancing them into one new mortgage?

Without knowing what the term and rate is on the existing 1st and 2nd mortgage it is hard to answer this question.  To get a better hold on this decision it would be beneficial to use a loan consolidation calculator or mortgage payment calculator.  A refinance that consolidates two mortgages is similar in process to nay other mortgage refinance transaction.  The question is whether the savings is worth the cost of the new home loan.  When using the mortgage calculator to compare the two it is important to compare the monthly mortgage payments before the consolidation and after as well the tem of the new loan and the remaining term on the existing first and second mortgage.  Use the closing costs mortgage calculator to help verify that you are not over paying with added fees that can impact the APR and interest rate on a new loan.

This entry was posted on Tuesday, December 9th, 2008 at 8:30 pm and is filed under Mortgage FAQs. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.