If I told you that you could spend a few hours of your time and it would translate in to thousands or even tens of thousands of dollars saved – would you be interested? Well, refinancing is one way that many of us can do that. Refinancing Video Can’t see the video in your RSS reader or email? Click Here! Recently I have been looking into refinancing again since rates are still very good. In my case, I am paying a 5.5% rate on my mortgage and from comparing some quotes I can see that I can easily refinance to a 4.5% rate (or lower). 1% may not seem like a lot, but that 1% difference will save us $171/month on our mortgage payment. This will save us over $2000/year! And over $55,000 for the life of the loan. Not bad for just a few hours worth of work! Assuming average closing costs being about 2-3% of the loan amount we would break even sometime within the 2nd year. The thing about refinancing is that it can feel overwhelming and complicated. There are a bunch of closing costs and you while you can and should get a good-estimate from prospective lenders, you still aren’t likely to have all of the exact numbers to do the calculation. But, if you are planning on being in your home for a while and you see that rates are 1% or more below what you are currently paying, you should at least spend some time figuring out how much you could save. I mean seriously, if you can spend just a few hours and save thousands of dollars a year for the length of your loan, isn’t that a better investment of your time than watching American Idol? Homework: 1. Check the rates in your area to see how they compare to your current rate. 2. If you find a 1% difference and plan on staying in your home at least 5-10 years, use this calculator to see how much money you can save. 3. Find a few mortgage lenders and ask them for good-faith estimates of their closing costs. Pick a good one, ask questions until you are comfortable, and do something smart with all the money you are going to save! Related Articles: 5 Questions to Ask When Deciding To Refinance Your Home Loan Tips for your mortgage refinance Why Refinance A Car? To Save Money! Buying A Home: The Missing Manual Reviewed How to Pay Off Your Mortgage Early Effects of Inflation 5 things home buyers should be doing in this market Bob enjoys dark chocolate, paying off debt, giving, Foosball, loose-leaf tea, helping people succeed, learning, anything God created, playing guitar, Philippians, excellence, Chick-Fil-A, and making his wife smile. He started ChristianPF in 2007 and Co-Founded Blogging Your Passion in 2011. Find him on Facebook & Twitter . FTC Disclosure of Material Connection: Some of the links in the post above may be affiliate links. This means if you click on the link and purchase the item, we will receive an affiliate commission. Regardless, we only recommend products or services we use personally and/or believe will add value to readers. Read more here .