If you’re trading 20% credit card interest for 6% mortgage, it’s usually a win, but you gotta watch out for extending that debt over 30 years. That dishwasher might end up costing double if you...
That’s a smart approach—“made sure the new payment didn’t kill my cash flow.” I always wonder, do folks really think about how long they’ll carry that debt? Swapping 20% for 6% looks great on paper, but like you said, if you’re stretching it over 30 years, is it really saving you in the end? Sometimes I see people roll in little stuff—appliances, vacations—without thinking about the true cost over time. How do you decide what’s worth refinancing and what’s better paid off quicker?
- Totally agree, rolling high-interest debt into a lower-rate mortgage can be a lifesaver, but only if you’re disciplined.
- Here’s my take:
- Only refinance stuff you’d pay off in 5 years or less anyway. Stretching a $1,000 fridge over 30 years is just burning money.
- If it’s a big emergency or major home repair, maybe it makes sense—just don’t make it a habit.
- I always run the numbers: if the total interest paid is more than I’d pay just grinding it out, I skip it.
- Honestly, I’ve seen people refinance vacations...that’s wild to me. If you can’t pay it off quick, it probably shouldn’t go in the mortgage.
