Bankrate’s Senior Vice president and Chief Financial Analyst Greg McBride joins HousingWire Digital Producer Victoria Wickham to discuss Bankrate’s recent survey on refinancing appetite. Additionally, McBride breaks down the top three reasons why homeowners have steered away from refinancing their mortgage.

Below is a short preview of the interview. The transcript below has been lightly edited for length and clarity:

Q: Let’s discuss the recently introduced refi fee that will be implemented on December 1. Bankrate’s survey determined this fee is now impacting whether or not homeowners are choosing to refinance. Can you expand on this for our listeners?

Greg McBride: There’s definitely a big outrage factor as far as this fee is concerned. We found that 57% of those who haven’t refinanced this year claimed the fee is why they would not refinance, including 42% who said they’re much less likely to refinance as a result of the fee. We’ve seen most lenders reflect this in pricing by tacking on about an eighth of a percentage point to the rate. It’s not something that’s necessarily going to have to be paid out of pocket via a fee, it’s already reflected in pricing. And that pricing is such that we’re still seeing record low rates. Yes, it’s out there, but it doesn’t dilute the benefit of refinancing, given how low rates are today.

Q: How can the industry best educate borrowers about refinancing?

Greg McBride: I think first is demonstrating the savings beyond just the wow, you can cut your monthly payment by 200 bucks. The cumulative effect of those savings can be really eye-popping, and really putting those closing costs in context. You may have $3,000 worth of closing costs, but you’re going to save $15,000 in the next ten years, and you could save $30,000 or $40,000 over the life of the loan. I think those numbers really put it into context that, yes, it’s a process, and yes it costs some money now, but there’s a very significant benefit. And that benefit accrues quickly, particularly in the first ten years of a loan.