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There are a few things to consider when refinancing. One being the cost of the refi.

How much will closing costs be? For instance- your closing costs are going to cost you $5000 to obtain a new loan. If you are saving $100 per month on your payment by refinancing, it would take 50 months of saving the $100 to recupe the $5000. Leaving approx 3 yrs left to realize a true savings.

Most lenders will let you "roll" closing costs into the new loan when there is a good amount of equity in the home. You are still using the home's equity when doing this, so will need 50 months to recupe the closing costs @ $100 per month.

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Q: Would it make sense to refinance a mortgage with seven years remaining just to lower the monthly payments?
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There are several ways a person can get a low rate on the mortgage refinance. A person can get a lower rate on their mortgage if they make the payments longer, making the monthly payments be less.


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I think if you can effort for it you can have a refinance without borrowing the money.


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Can daughter continue to pay mother's mortgage after notifying the mortgage company?

I assume you notified the mortgage company that the daughter is making the monthly mortgage payments on behalf of the mother. If that is the case, the daughter really isn't benefitting from making these payments from the credit agencies, proving mortgage history, and establishing credit on her own. Essentially, the mother would have to refinance the loan to get the daughter on the mortgage with her in order for the daughter to benefit. Even a quit claim deed would only add the daughter to the title, and the mother would ultimately be responsible for the monthly mortgage payments. I hope this information helps. Regards, Total Mortgage Services