What do you tell people who have the low rates from 5 years ago? Hard to go from 2.5 to 7.5!
Answered
CWAsked by Casey Wix0
I get it—going from a 2.5% mortgage rate to 7% can feel painful. But I always tell people: don’t just compare rates, compare your overall situation. That 2.5% rate is incredibly valuable, and if your current home still works for you, keeping it may make perfect sense. But sometimes life changes. Maybe you need more space, want to downsize, relocate, change school districts, or simply want a home that better fits your family. That’s when we need to look beyond the interest rate. How much equity do you have? What would the new payment actually be? Can we use that equity to lower the loan amount, eliminate other debt, or structure the financing differently? The goal isn’t to convince you to give up a great rate. It’s to look at the entire financial picture and determine whether staying or moving makes the most sense for you.