Lower Rates, Lower Payments: When Refinancing Makes Sense with Lori Gibson, Fairway Home Mortgage

by Megan Luker, REALTOR®️ |Virginia Beach, VA Expert

Photo Credit: With insights from Lori Gibson, Trusted Loan Officer at Fairway Home Mortgage.

Virginia Beach homeowners may save big by refinancing as rates ease. Trusted Loan Officer Lori Gibson of Fairway Home Mortgage shares key insights.

With interest rates lowering, is refinancing the right move for you?

For many Virginia Beach homeowners, refinancing could mean reduced monthly payments, paying off your mortgage faster, or even tapping into your home’s equity. To help break down the options, we’ve partnered with Lori Gibson, Trusted Loan Officer with Fairway Home Mortgage, who has helped countless Hampton Roads families make smart financial decisions about their mortgages.

What’s Happening with Rates in Virginia Beach?

As of September 2025, the average 30-year fixed mortgage rate in Virginia is around 6.42 % (Bankrate).
The 15-year fixed rate is closer to 5.44-5.79 %, depending on lender and borrower qualifications (Zillow).
These rates have edged down from recent highs, making now a strong moment for homeowners to evaluate their options.

According to Lori Gibson, “Refinancing isn’t just about chasing a lower number. It’s about running the numbers to see how much you actually save and whether it helps you meet your financial goals.”

Potential Benefits of Refinancing

Lori outlines several reasons Virginia Beach homeowners consider refinancing, especially in a shifting market:

Lower your rate & monthly payment: Even a small drop can add up to significant long-term savings.
Convert an ARM to fixed: Switching from an adjustable-rate mortgage to a fixed rate can protect you from future rate hikes.
Shorten your loan term: Moving from a 30-year to a 15-year loan can help you build equity faster and save on interest.
Combine first & second mortgages: Simplify your payments by rolling them into a single loan, often at a lower overall cost.
Eliminate private mortgage insurance (PMI): If your equity allows, refinancing can help you drop PMI and reduce your monthly expenses.
Cash-out refinance: Tap into home equity to fund renovations, consolidate debt, or cover major expenses.

Things to Consider Before Refinancing

While the potential savings are real, Lori Gibson always advises her clients to weigh:

Closing costs & fees (typically 2-6% of the loan amount)
Break-even point—how long before your savings outweigh upfront costs
Loan term reset, which could extend the time you’re paying a mortgage
Your credit score and equity position, which impact rates and approval
Future plans—if you’re moving in 2–3 years, refinancing may not be worth it

As Lori puts it, “A refinance should work for your life plan. It’s not just about today’s rates, but about where you want to be financially in five or ten years.”

Real-Life Example

A Virginia Beach homeowner with a $300,000 balance at 7% could refinance into a 6.3% loan and save $150–$200 per month. With $6,000 in closing costs, the break-even point would be around 30–40 months. If the homeowner plans to stay longer, it’s a smart move.

FAQs

Q: How much of a rate drop makes refinancing worthwhile?
Lori Gibson: “Often, a drop of around 0.75–1% is the tipping point, but every situation is unique. The loan size, your term, and your goals all matter.”

Q: Can refinancing hurt my credit?
A: There may be a small, short-term dip due to the credit inquiry, but it’s generally minimal.

Q: Can I refinance without much equity?
A: Some loan programs allow limited equity, but terms may not be as favorable. Lori recommends reviewing your specific numbers with a trusted lender.

Bottom Line

For Virginia Beach homeowners, refinancing in today’s environment can provide stability, savings, and flexibility. The key is to analyze the full picture—not just rates.

If you’re wondering whether now is the right time, reach out to Lori Gibson, Trusted Loan Officer at Fairway Home Mortgage, for a personalized review of your options.

📞 Contact Lori Gibson:📱 (757) 677-6768 📧 lori.gibson@fairwaymc.com

Thinking about making Virginia Beach your home? Explore local neighborhoods, discover the latest listings, or get a free home valuation to see what your home could be worth in today’s market. Call me at 757-703-1590 or DM me on Instagram @virginiabeachwithmegan.

Written by Megan Luker, REALTOR® | Virginia Beach Military Relocation Expert, Navy Wife & Mom
Licensed REALTOR® in the Commonwealth of VA at ΓEA⅃ Broker, LLC
📱 757-703-1590 (direct) | ☎️ 855-450-0442 (office)
📍 1765 Greensboro Station Place, 900 McLean, VA 22102
📧 megan@lukerativegroup.com