What if you could lower your mortgage payments based on overpaying your loan WITHOUT refinancing. How does it work? David Rubinstein from CreditShout.com joins us to talk about recasting your mortgage and everything about how mortgages really work. He’s done the math between prepaying your mortgage vs. “recasting” your mortgage. Which one wins? We’ll discuss.
We also ask David his thoughts about interest rate changes in the future, and he shares what happens to credit card and auto loan rates if the Fed raises rates.
Of course, we have trivia, a new Netflix television show review, and much more!
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<> David Rubinstein: Recast Your Mortgage?
We discuss this article from CreditShout.com: Recasting vs. Refinancing Your Mortgage
<> Your Letters
Dave – Pension and 401k…how should pension affect diversification of 401k?
Debra – Selling a condo and wants a tax shelter for $80k
<> End Show/Movies/TV
Joe reviews the new Netflix show Chef’s Table
We chose to mortgage our home with a local bank that offered recasting. We were interested in this as we had purchased a home prior to selling our last home. We were able to take the equity from the sell of home A and use it to recast our mortgage on home B. The fee was $250. Some individuals use a bridge loan for this type of process. Considering those have closing cost, recasting was advantageous.