Refi Risk of Waiting: Step-by-Step Guide

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Refi Risk of Waiting helps homeowners analyze the potential financial impact of delaying a refinance. By factoring in costs, potential savings, and the number of months you will need to wait to break even on your savings, the tool enables users to make well-informed decisions about the best time to refinance. Follow the steps below to get started:

 

1. Enter information about your client's existing loan.

  • Original Loan Amount: Enter original principal amount
  • Term: Input length of the loan in years
  • Current Rate: Enter current interest rate on the mortgage

2. Next, fill out the details of the refinancing scenario.

  • Refi Loan Amount: Enter the remaining balance of your client’s current loan
  • Current Available Rate: Enter the current available rate
  • Hypothetical Future Rate: Enter the rate the homeowner expects to achieve by waiting for lower interest rates in the future
  • Waiting Period: Enter the number of months your client estimates they will need to wait for the hypothetical rate

3. Click Calculate to view the summary of results.



To make edits to your calculator, click Edit in the top right hand corner. Once you make your desired edits, click Update

 

You can download the Risk of Waiting tool as an image or PDF file, simply by clicking Download in the top right hand corner of the page. This makes it easy to share on social media, email, print and more! 

Learn about the results by clicking here or visiting the next article. 

Have questions? Click here to submit a support ticket. 



 

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