Even if you're unsure of how long you plan to keep your mortgage before you move or refinance again, paying points now for a lower rate may make sense. For example, do you have a high-paying job now, but you think you might change careers in the next few years?

Point: equals one percent (1%) of the total loan amount; an up-front fee that lowers your annual interest rate and total interest due over the life of your loan.

A "one point loan" will have a lower interest rate than a "no point loan".

Basically, when you pay points, you trade off paying money later in favor of paying money now.

There are a variety of rate and point combinations available.  KMG Mortgage Group can help you sort it out.  It's part of our goal to find you the right loan for your means and future.