Hi, for the past few years all I can think about is paying off my mortgage. And, this is spite of the fact I know it is better to have a long-term, low interest loan as a hedge against inflation, of which I truly believe we will start to see rise by the end of this year, almost to what one would call hyper-inflation levels.
So, what do you think..stick with my stress-reducing plan of paying off the mortgage & refi into a less than 30-yr mortgage, or refi with a 30-yr mortgage and make the extra principal pmts..those that would be the pmt on a less than 30 yr mortgage, or get 30 yr mortgage and just make the regular new lower pmt...or mix & match..make the new lower regular pmt sometimes, and a higher extra principal pmt sometimes...
Hmmm..decisions, decisions..refi'ing into a new 30 yr would drop my current pmts by about $475 per month between my 1st & 2nd mortgages..BUT...at what cost to my equity, of which I am currently at about 92% CLTV..prior to refi'ing...credit score is about 680, guessing...credit score estimator ranges from 640 - 690..and this is down from over 800 in Nov 2010 due to decisions made..and then stupid actions on our part and one credit card company after we made the decisions...We might just wait until Sep - Oct 2012, closer to the elections, also, as this will allow us to pay off 2 smaller credit cards, raising our score as the credit utilization rate improves. But, all this still begs the question...what new mortgage term?
Thoughts?
