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Mortgage Refinancing Explained: Real Stories, Practical Information
30Y in 30D • Y20. Two real-life stories that illustrate the upsides and downsides of mortgage refinancing — essentials that homeowners need to know to minimize risk.
Related and recent articles
(Full list of “30 Years in 30 Days” Series articles at bottom of this article.)
• 30Y in 30D, Y19: Economic Shockwave: Envisioning 2025 with 1982-Style 18.6% Mortgage Rates
• 30Y in 30D, Y18: U.S. Mortgages in 1982 vs. 2021 vs. 2023 — the Good, the Bad, and the Ugly
• 30Y in 30D • Y16: The Total Cost of Ownership of Your House
• Kickstarting “30 Years in 30 Days” — Decades of Mortgage Wisdom in 1 Month
• Has U.S. Healthcare Really Become a Mob Protection Racket?
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Two conversations recently got me thinking about mortgage refinancing and also questioning some of the most basic assumptions about them.
One conversation was with a Lyft driver on my way to a doctor appointment, and the other was with an electrician replacing a disposal in my kitchen sink.
Roadmap for today
I’ll share the stories of the Lyft driver and the electrician below along with what I think are key takeaways from each story.
Note: there will also be two additional parts to this article, coming out in the next couple weeks.
Article #2 will cover the basics of mortgage financing. If you want to come up to speed quickly on this topic, Article #2 will be a great place for you to start.
Article #3 will walk through what actual numbers would look like for a typical refinancing. We’re going to see how much money you really might — or might not — save with a refinancing. I’ll also discuss aspects of refinancing that you should care about…but that media and real estate industry “experts” never talk about, which means that most people are not aware of this.
