[Jacob F]

...I plan to sell in 4 years? Here's the scenario ...Been in my first home for 1 year and have a 5.5% fixed rate on an FHA mortgage. I plan on living here for 4 more years and then selling to upgrade into a new home. I was contacted by my old broker proposing to do an FHA Streamline refinance to take advantage of the current lower rates. His proposition is this...- 4.625% rate- Payments lowered by $110 per month- I bring $2.8k to closing - Loan balance goes up by $3kI'm trying to understand why this would make sense for me to do. By my logic the scenario doesn't give me much of an advantage...GAIN: months(48) x savings ($110) = $5280 gainedvs.LOSS: closing ($2800) + loan balance change($3000) = $5800 lostThe broker is arguing with me that the closing is basically free because I can bring the skip payment that would occur plus some refunded escrow money to pay for it. I don't know if I would agree with that. Seems like I'm financing my savings with cash upfront and losing equity. Any opinions or insight would be greatly appreciated. Thanks!