I have got written many articles on refinancing a fixed rate mortgage to an adjustable rate mortgage. I have got helped people cut as much as $800 off their monthly payments by turning their high fixed rate mortgage loan into a much lower ARM. This may be the time, however, to set the strategy in reverse, especially if your adjustable rate mortgage is coming up on the accommodation period.

If you have got an adjustable rate mortgage in the four to five percent range, and it is about to adjust, and if you believe you'll be in the home for more than than five further years, you'll desire to strongly see refinancing your adjustable rate mortgage to a fixed rate mortgage. Here's why.

Rates go on to stay very low. Fixed rate mortgages in the five to six percent range are very good loans. So, if you have got an arm at five percent, and it could possibly balloon to six or seven percent, now is the clip to repair that rate at between five and six percent. Remember, if you mean to stay in your current abode for more than than five years, fixing that rate is a very wise move.

This way, you will maintain your payment low for the life of your loan, and you will eliminate the concern of an adjustment.