is it possible to refinance for a lower raite, even if you think your house might have lost value?

We have only been in our house for 2 years, but we'd love to take advantage of a lower interest rate.

Is it possible to refinance? What would be the out-of-pocket costs for us?

Re: is it possible to refinance for a lower raite, even if you think your house might have lost value?

that would depend on your particular situation, and what your loan options are.

ex: if you put down 20%, and qualify for an FHA loan, and your house depreciated 15%, you probably COULD refinance, since you'd still have 5% equity and FHA loans allow for a higher LTV.

You would have to pay closing costs again - either in cash, or rolled into the loan (which would then affect your LTV).

Rates were pretty low 2 years ago - you should make sure you'd be saving enough to cover the expense. I think "they" say, you should go down at least 1pt to make a refi worthwhile (but everyone's situation is different...)