My wife and I bought our house about 4 and half years ago, just a little before the housing market crashed. We didn't have a lot of money, so we played it safe and got into a house that most would call modest, at best. Unfortunately, interest rates peaked right around when we got into our home and so we're stuck with one at 8%.
We would like to refinance our home loan now since rates are so low. So I went and talked with a credit union a few weeks ago about it, and I found out that to refinance with them would cost somewhere around $5 to $6k in fees.
Question #1: Is this an unusual amount to pay for refinancing a home loan?
However, my wife and I would love to move into a newer home, since we're better established and making more than we did when we first bought our home, which leads me to my 2nd question -
Question #2: Is refinancing not worth it if you might move in the next year or two?
The real kicker of the entire problem is that homes just aren't selling where we live. Even in our price range, which is low compared to most of the city, few homes are being sold. We stuck it on the market for about 3 to 4 months and had very little interest.