Refinancing...too soon?! (rate, loan, closing, buying)

[ct4life]

So I closed on my condo in November 2009 (several months ago) and my rate is 5% fixed. I see how low rates are now...am I able to refinance for a lower rate? Would it be worth it? Are closing costs high for a refinance? Are there restrictions considering I was a first time home buyer? Thanks for any and all input.

[acegolfer]

Originally Posted by ct4life

am I able to refinance for a lower rate?

Ask your lender. It's case by case.

Originally Posted by ct4life

Would it be worth it?

We need more information. General rule of thumb is if you plan to stay for longer than 3 years and the rate decrease is 1%, then yes.

Originally Posted by ct4life

Are closing costs high for a refinance?

closing cost is about 1-3% of the loan.

Originally Posted by ct4life

Are there restrictions considering I was a first time home buyer?

I don't think so.

[Elke Mariotti]

Originally Posted by ct4life

So I closed on my condo in November 2009 (several months ago) and my rate is 5% fixed. .

Another possibility to consider:

Depending on where you live, your market value may have dipped somewhat since your previous appraisal and a current appraisal may come in lower - which could prevent a refi right there.

[ct4life]

I bought it kind of low, and I think it's atleast worth $5k more now. Also, I plan to keep the condo for a long time...to rent out when I'm ready for a house. But I was mainly wondering if it would be possible to refi only several months after buying the place...