Almost always – when interest rates fall, most home owners tend to rush to refinance their mortgage. Most of the time they do so without pausing to consider whether refinancing is a good idea or if it makes fiscal sense. Unfortunately these home owners can easily be lured by the promise of lower mortgage interest rates, but the rates are only a small portion of the bigger picture.
Serial refinancing means to take out new mortgage loans every time rates drop a quarter point. There are far too many people that refinance multiple times in a short period. These people should be smarter than that because every time they refinance they add more principal to the end of the loan and extend the term of the loan.
Best advice – wait until it REALLY makes sense to refinance or when you absolutely must refinance to get extra cash in hand.