Daisy Tran purchased a condominium four years ago for $65,000, paying $495 per month on her $55,000, 9 percent, 20-year mortgage. The current loan balance is $50,263. Recently, Daisy has been considering refinancing her condo. She expects to remain in the condo for at least four more years and has found a lender that will make a 6.5 percent, 16-year, $50,263 loan, requiring monthly payments of $422. Although there is no prepayment penalty on her current mortgage, Daisy will have to pay $1,500 in closing costs on the new mortgage. She is in the 15 percent tax bracket. Based on this information, use the mortgage refinancing analysis form in Worksheet 5.4 to determine whether Daisy should refinance her mortgage under the specified terms.

should she or should she not refinance her mortgage under the specified terms?