🏡 The Mortgage Minute: When Refinancing Doesn’t Make Sense
Refinancing your mortgage can be a smart financial move—but it’s not always the right decision. At Cohen Mortgage, we believe in honest guidance, so today we’re sharing a few scenarios where not refinancing might actually be the better choice.
🚫 You’re Planning to Move Soon
If you expect to sell your home in the next 1–2 years, refinancing may not make financial sense. Why? Because closing costs can take time to recoup. If you won’t stay long enough to break even, it's likely not worth it.
💸 Your Interest Rate Is Already Low
If you’ve already locked in a competitive rate (especially under 4%), the savings from a refinance may not justify the costs—unless you’re consolidating debt, pulling cash out, or eliminating mortgage insurance.
⏳ You’re Deep Into Your Loan Term
Restarting a 30-year mortgage late in the game can mean paying more interest over time—even if the monthly payment drops. Shorter term options might help, but only if the numbers truly benefit you.
📉 Your Credit or Home Value Isn’t Where It Needs to Be
To qualify for the best refinance rates, your credit score and home equity play a big role. If your credit is on the mend or your home hasn’t appreciated much, it might be worth waiting until your financial picture improves.
🤔 So… Should You Refinance?
The answer depends entirely on your goals, timeline, and current loan situation. We’ll never push a refinance that doesn’t make sense for you. Instead, we’ll run the numbers and walk you through every option—no pressure.
Thinking about refinancing? Let’s figure out if it actually makes sense for you. Reach out anytime—we’re here to help.
📲 cohenmortgage.com