Reasons Not to Refinance a Mortgage – NYTimes.com

 Our Comment by J. David Lewis – We have worked on this question several times in the summer of 2010.  Sometimes refinancing makes sense.  Sometimes it doesn’t.  This article, which includes several quotes from a colleague I met before 1990, should give help understanding whether you should look into refinancing.  Lew Altfest was at the very first NAPFA National Conference I attended.  I met a couple of the others mentioned on later occasions. NAPFA members, who advise on personal finance issues far beyond portfolio management, are most likely to understand these kinds of issues.

“With mortgage rates at historical lows, almost all the loans being written these days are refinancings — 80.5 percent of applications in the week ended Sept. 10, according to the Mortgage Bankers Association.

But not everyone should refinance a mortgage, Mr. Altfest and other experts point out. “It depends on what you have, it depends on your time frame, and obviously it depends on what you can save and whether you can qualify,” said Timothy G. Parker, the president of Hudson Capital Management in Ridgewood, N.J.

As with most financial matters, this decision involves a bit of math.”

For some guidance read the article via Mortgages – Reasons Not to Refinance a Mortgage – NYTimes.com.

Contact J. David Lewis directly with david.lewis@resourceadv.com or share your thoughts on this topic below. He founded Resource Advisory Services in 1985.  National Association of Personal Financial Advisors (NAPFA) was formed only a few years before. Lewis became a NAPFA-Registered Financial Advisor in 1986.  He is a passionate advocate for fiduciary, fee-only financial planning and has been associated with financial services since childhood in a banking family. 

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