When does it make sense to refinance my mortgage in Washington?

Refinancing makes sense in Washington when you can lower your interest rate, reduce your monthly payment, eliminate mortgage insurance, shorten your loan term, or access equity through a cash-out refinance. A common rule of thumb is a 1% rate drop or better — but what actually matters is the breakeven point. Divide total refinance costs by monthly savings. If the breakeven is 18 months and you plan to stay in the home 5 years, refinancing is worth it. If it's 5 years and you plan to move in 3, it's not.