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Refinancing vs resetting- what’s the difference?

  • Thread starter Thread starter /u/Cozy-Catt
  • Start date Start date
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/u/Cozy-Catt

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Hey all,

Looking for advice -

If there are two lenders, lender 1 having a slightly higher rate (6.875) and offering a free refinance down the line vs lender 2 having the slightly lower rate (6.75) and offering a $750 flat fee rate reset at any time, which is the better deal?

If lender 2 typically has a tiny bit lower rates, can I assume that the 750 is negligible compared to the benefit of .1 difference in rates?

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Refinancing vs resetting- what’s the difference?
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