Q-Last February we refinanced our home mortgage at 9.37 percent fixed interest rate. At that time it was good for us because we got rid of an 11.5 percent mortgage. We paid a two-point loan fee to get our new mortgage.

However, when you fully pay off the refinanced mortgage then you can deduct any unamortized loan fee for that mortgage. That means, if you refinance again, your two-point loan fee paid in February will become fully tax deductible as itemized interest on your 1992 income tax returns.

Nobody knows for sure if mortgage interest rates might go lower, but since you plan to keep your home for many years it might be wise to refinance now, especially since the new loan fee is very reasonable and your old loan fee will thereby become fully tax deductible in 1992. For further details on the tax aspects please consult your tax adviser.