Will refinancing lower my payments?

10 year historic rate for comparing to current HARP loan rates

YES,  Given that most 30 year fixed rate mortgages over the past decade have spanned the range from 4.5% to 6.5% range, refinancing at current rates in the high 3% to low 4% range will save a borrower a boat load of interest over the life of the loan.

Take the example of a $250,000 loan currently at 6.0% from 2008.  A borrower refinancing at 3.75% would not only lower the payment by approximately $406 per month.  Alternatively, the borrower could option to maintain their current payment and at the improved rate, they would save over $130,000 in interest over the life of the loan.

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