Gang-

We're 3+ years into a 5/1 ARM 30 yr. mortgage with an interest rate of 6.25%...

Through the terms of our mortgage loan, we're entitled to one loan modification before we hit month 60, when a max of 3 points can be added to our interest rate for the loan.

Its not a question of should we do this, but when?

Currently, our financial institution's 30 year notes are at 4.75%, which is 1.5% lower than our current rate.

Some "expert analysts" feel the 30 yr. interest rates will drop close to 3.5% by the Summer.

This is our first home, so we're new to this. Should we take the 4.75% and run or wait and watch what happens?

Thanks!

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Bill in Dayton

[This message has been edited by Bill in Dayton (edited 01-12-2009).]