24 . A homeowner obtained a fully amortizing loan 5 years ago for $95 000 at 11 / for 20 years Mortgage rates have dropped , so that a fully amortizing 15 - year loan can be obtained at 59 . The early repayment ( exit cost ) and closing costs will be $1 000 . All payments are monthly 4 a ) What is the current total outstanding balance and current payment ? ( ) What is the new refinancing payment d ) What is the difference between current payment and new payment ( savings ) ? e ) Should the borrower refinance 1) Would your answer change if he planned to be in the home only 5 more years