Mortgage interest rate question...

[1BAD68]

lets say your in a house and have a great 30 year interest rate, you find another house that you like but now the rates are higher.
Is there any way to sell the first house and buy the second house but keep the original rate?
Just wondering if thats possible.

[Orange_Crush]

No

[19Charger68]

 

[dodgecharger-fan]

Maybe.

At least here in Canada - I've done it.

It all boils down to whether or not there's anything in it for the bank.

If you're ammortizing the mortgage on the new house for a longer period of time and/or the principal is more, they stand to make some more from you over the life of the mortgage. (The fact that you are already at a 30 year ammortization is working against you in this case.)
And it depends on what kind of delta between what rate you have now and what the going rate is....

A lot really depends on those factors and whether or not you have a good relationship with your banker.

That said, if it's going to put more money in the bank's pocket, why would you want to do it? The only good answer to that is month to month cash flow is more important than the total cost of your mortgage. That can be a valid reason but more likley than not, if you look at the bigger picture and how much it will cost you over the life of the loan, you'll throw up in your mouth a little. However, sometimes it just can't be avoided.

I was in that month to month cash flow state of mind and ammortized over the longest period I could. That kept the bi-weekly payments down to something I could manage. The banks only risk is that you might come into some money, get a better job, or whatever and start accelerating your payments. But that's a risk they have no matter what the terms of your mortgage. That's why they set limits on how much you can pay down in a lump sum and how much you can increase your payments and how often. They'll factor that all in with the cost of the new house and the ammortization period and if it gets them ahead, they should be open to negotiating the rate. Even if they break even when comparing the two, they should be open to negotiating just to keep your business.

In my case, I moved from a 25 (the old maximum) to a 30 year and my new house is double the value of my old house. This was about 7 years ago.

[PocketThunder]

No. 

Neal J is our resident CPA though, you could ask him or maybe he will see this thread...

[nh_mopar_fan]

If there was, I'd be house shopping with my 4.13% rate right now.

[Charger_Fan]

If there was, I'd be house shopping with my 4.13% rate right now.

Nice rate!

[PocketThunder]

If there was, I'd be house shopping with my 4.13% rate right now.

Nice rate!

  How many points did you pay to get that?  I thought i was doing good with 5.875%

[1BAD68]

If there was, I'd be house shopping with my 4.13% rate right now.

Nice rate!

  How many points did you pay to get that?  I thought i was doing good with 5.875%

Ditto