Re: Mortgage Rates fluctuating this week? or lock it??
[Re: H5Farm]
#6296843
08/07/18 10:03 PM
08/07/18 10:03 PM
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Joined: Dec 2006
Posts: 1,973 Ohio
Computer Hater
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Joined: Dec 2006
Posts: 1,973
Ohio
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If you are borrowing $200,000.00, the difference is only $200.00 for the year or about $16.67 a month. Not much but every little bit helps. I would recommend going with a 20 year or 15 year loan if you can swing it. You will save tens of thousands of dollars, if not a few hundred thousand dollars over the life of your loan. Obviously the savings would depend on the amount you are borrowing. Banks like to have people take 30 year loans because they make lots more money. If you can possibly swing a shorter loan, have someone show you how much your total out of pocket money would be over the life of the 30 year loan versus the 20 year loan or 15 year loan. It will be an eye opener.
Randy Member NTA, FTA
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Re: Mortgage Rates fluctuating this week? or lock it??
[Re: H5Farm]
#6297633
08/08/18 11:22 PM
08/08/18 11:22 PM
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Joined: Dec 2006
Posts: 7,475 WI>>>MN >>>WI
T-Rex
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Joined: Dec 2006
Posts: 7,475
WI>>>MN >>>WI
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I ain't got no crystal ball.
So, I always go for the longer term (30 years in this case), but double up on the payments. Doubling up on the payments doesn't mean twice your current payment. It means pay the current principal and interest, and the principal of the last payment. If you don't have the table, don't worry about it, just pay an extra hundred or two. The next thing you know, the thirty year mortgage is paid off, and you're still a young man.
Man who mistake shillelagh for fairy wand; see pixie dust, also.
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