Quote:
Originally Posted by mrkajz44
My mortgage renews next week and I've gone with 4.29% fixed for 5 years. We plan to have the house fully paid off over those 5 years with some extra payments along the way.
I've accepted that the likely outcome is variable over 5 years probably works out better, but I valued the certainty of the rate over the rest of my mortgage much higher and it eliminates any stress relating to rate changes. The fact that we're nearing the end of the mortgage as well helped minimize the impacts of the rate.
|
Is your remaining Amortization 5 years? If you are in a position where you can pay it off in 5 years, the interest rate won't have a big impact on total cost. Although if its a half point on a 10 year Amortization it would have a bigger effect. I would probably do the same in your shoes as you can set a plan and execute it. Doing that will probably save you more in the long run than trying to maneuver around every rate move.