When is a good time to refinance? If I am in position to recoup closing costs within 8 months due to a lower interest rate, would it be smart to go ahead? I originally closed on my house 6 months ago and rates are .5-.75% lower. The way I see it is that in 8 months, my closing costs will be made and then I am saving the extra mostly amount for the remainder of the loan life. That the correct way to think of it? Thanks!