I’m not saying that KAY needs to refi, but what “seems like a keeper loan” to you could be 10% within 24 months of first change.
You mention a 30YR fixed rate (which they may or may not even qualify for depending on 10-15 other pieces of information), which assumes that they intend to keep the loan long term, so IF TRUE, your conclusion is that the 10% loan within 24 months is a keeper, rather than a locked long term loan in the 6’s.
