Trey Pennington · September 2, 2026

Refinancing: is it worth it for you?

Mortgage Market Update

My Mortgage Company

Trey Pennington

Wednesday, September 2, 2026

Refinancing: is it worth it for you?

Hi there. This week I want to tackle a question I hear often: when does refinancing actually pay off?

National Mortgage Rates · August 27, 2026

30-Year Fixed

6.66%

FHA 30-Year

6.55%

VA 30-Year

6.38%

Rate trend

Source: Freddie Mac PMMS & Optimal Blue via FRED

Rates shown are national averages and are provided for informational purposes only. Actual rates vary based on credit profile, loan amount, and market conditions. Please contact us for a personalized rate quote.


Refinancing Basics

When refinancing makes sense (and when it doesn't)

Refinancing isn't always the right move, even when rates drop or your situation changes. The real question isn't whether you *can* refinance—it's whether the benefit outweighs the cost and time. Some people refinance to lower their rate or shorten their loan term. Others tap equity for a major expense or consolidate debt. But if you're only saving a small amount each month, closing costs and the reset timeline might not pencil out.

The key is running the actual numbers for your specific loan and goals. That's where I come in. I can show you whether refinancing makes financial sense in your case, what your options look like, and how long it would take to break even. No obligation—just clarity.

If you're curious whether refinancing could work for you, let's talk through it.

Tip of the Week

Your mortgage interest may be tax-deductible if you itemize. Check with your tax professional to see if it benefits you.

Tips for Homeowners

Understanding Mortgage Points

1.

One mortgage point equals 1% of your loan amount. Paying points ("buying down the rate") reduces your interest rate — typically 0.25% per point, though this varies by lender and market.

2.

Calculate your break-even: divide the cost of the points by your monthly savings. If it takes 4 years to break even and you plan to stay 10 years, buying points makes sense.

3.

Points paid on a home purchase are generally tax-deductible in the year paid (if you itemize). Points on a refinance must be deducted over the life of the loan.

Have questions about how any of this affects your mortgage or home purchase? We're here to help — reach out to the My Mortgage Company team any time and we'll walk you through your options.

Your Mortgage Advisor

M

My Mortgage Company

Trey Pennington

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