Tuesday, Nov. 25, 2008
Refinance Your Mortgage
Believe it or not, long-term interest rates have actually been climbing in recent weeks, making mortgages more expensive. That's odd given the likely recession ahead. But long-term rates could continue to climb as the government pumps money into the economy and bond traders worry about a weaker dollar and inflation a little further down the road. If you are saddled with a variable-rate mortgage where the rate is set to jump in a year or two you may be better off locking in a 30-year rate today, even if it's higher than the rate you are currently paying.
See "The Short Refinance" on TIME's 50 best inventions list.