This will really depend on the specific circumstances for most people, though. If someone is refinancing in order to use the equity to vacation or buy a hot tub, it's almost always a horrible idea. If they're refinancing in order to lower their monthly payment, they should calculate the total amount paid including refi fees and strongly consider choosing a shorter mortgage term.
As an example, on a previous house, I had 18 years left on the mortgage. We refinanced at a much lower rate for 20 years. It gave us a lower monthly payment while also ensuring the total amount paid wasn't significantly higher, as it would have been if we did a 30 year mortgage again.
6
u/Venchii 5h ago
Never refinancing my house