Within mere minutes of buying my house last year (alright, that’s a bit of an exaggeration), the mortgage loan companies jumped on the opportunity to offer refinance, home equity lines of credit, and other “tempting” offers to restructure the first and second mortgages I just agreed to. What surprises me is that those offers work often enough that the mortgage companies would be willing to send out the offers in the first place (companies aren’t stupid, if it doesn’t work, they stop doing it). In all fairness, some of them were offers for an adjustable-rate mortgage which meant a ridiculous low rate but if I really wanted an ARM, I would’ve signed up for one in the first place. I have your vanilla 30-year fixed mortgage with a competitive interest rate and I just paid all the mortgage-related closing costs… what would lead them to believe I’d be at all interested in paying those fees again and refinancing???
Have you ever heard of someone refinancing so soon after buying a house? Would it even make any sense?