What’s it worth
Posted by Thor Monday Jan 19, 2009So as we near completion of the kitchen and bathroom, we are planning on refinancing the house to take advantage of lower interest rates. This will involve a new appraisal which takes into account the updating of the electrical and plumbing, the new kitchen and bath, the remodeled sunroom, and the cleaning up of rest of the house.
When we bought the house in August, the credit crunch was in full effect and interest rates were their highest in almost a decade at 6.8%. We also had to pay PMI, because we went with 10% down because we new we were going to be using the money to remodel so we kept more cash on hand.
A refinance will drop our monthly payment by at least 100 bucks and the closing costs will pay for themselves in 6-8 months.
Appraisers require that the house be “habitable” which they mean to have sinks apparently. Little do they now how accomadating Liz and I can be. So, in three weeks when the countertops and sinks are in we’ll be ready to refi.