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Should I buy mortgage points?

Quick answer

Yes if you'll stay in the home 5-7+ years. The breakeven is typically 5-6 years — after that, the rate savings exceed the upfront cost. If you'll move or refinance sooner, points are wasted money. Calculate: monthly savings × months needed = upfront cost. Above breakeven = profit.

More context

Yes if you'll stay in the home 5-7+ years. The breakeven is typically 5-6 years — after that, the rate savings exceed the upfront cost. If you'll move or refinance sooner, points are wasted money. Calculate: monthly savings × months needed = upfront cost. Above breakeven = profit. The exact answer depends on your specific situation — the numbers above are a strong starting point, but the right next step is to plug in your actual figures.

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