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To: CSM; joe fonebone

Joe’s main point is correct, and I say this working in the financial industry.

Anyone who refinances their mortgage (including me) will now see a payment schedule reset to mortgage-first. I refinanced my loan based upon the amount of remaining principle I have to pay (it was an FHA Streamline, which did not require an appraisal).

That is why we recommend that those who pursue such a strategy, especially later in their mortgage, rededicate a portion of their cash flow savings to extra repayment, to lower the principal amount more quickly as a vehicle to early debt retirement.


31 posted on 01/25/2012 10:33:21 AM PST by Colonel_Flagg (Why, yes. I AM in a bad mood.)
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To: Colonel_Flagg

rented fingers. Mortgage-first = interest-first. Argh.


32 posted on 01/25/2012 10:33:58 AM PST by Colonel_Flagg (Why, yes. I AM in a bad mood.)
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To: Colonel_Flagg

Or simply take a lower loan period.


35 posted on 01/25/2012 11:00:34 AM PST by CSM (Keeper of the "Dave Ramsey Fan" ping list. FReepmail me if you want your beeber stuned.)
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