Refinance out of FHA/ Mortgage Insurance Dilema

[Terry Royce]

We bought our house a year ago, with an FHA loan, and substantially updated our house. We got it appraised to refinance to conv, however, now with rates having increased I'm not sure what to do. If we refinance we would knock off the monthly MI, saving us approx $140 a month.

Over the life of the loan, the new loan would be more expensive, however, in the short term (10 years) we would save money, and could utilize that money to pay off debt, invest in other rental properties (which we do now).

Not sure what to do here... advice input?

Present:
1,318.71 - P&I
55.67 - Insurance
238.47 - Taxes
289.06 - Monthly Mortgage Insurance
$1,901.91 - Current Monthly Total
108 Total PMI Payments - Total $24,889.26,

Present:
APR: 4.631%
Finance Charge $223,526.14
Total Payments; $503,375.76

Proposed - Monthly Breakout
$1,465.30 - P&I
55.67 - Insurance
238.47 - Taxes
$1,759.44 New Monthly Total

Proposed
Rate: 4.625%
APR: 4.690%
Finance Charge $244,646.70
Total Payments; $527, 506.20