PMI STRATEGY

Dated: March 27 2022

Views: 26

 Buying Power Sheet 
        
 CONVENTIONAL 10% DOWNPAYMENT                                                        LOAN                    PROGRAM              COMPARISON 30 YR FIXED 
   
   
 Rate4.500% 
 Term360 
 Sales PriceCONV Mortgage
10% Downpayment                                                                                              (every $20k added to downpayment reduces mortgage cost                                    only approximately $100 per month)                                                          StrategyTip:                                                                                                                     use one time pay off of mortgage insurance at closing                                        instead of investing 20% down.                                                                              Increases your cash on cash ROI plus if you plan to own a home                              at least 3 years, this is always more inexpensive                                                          than paying monthly MI                                           
Pay all mortgage insurance off with one cash payment at closing Loan Amt x .02 alleviate costly monthlymortgage insurance when  downpayment is less than 20%                        
    
 Taxes/$1000$1.09 
Insurance$60

MI added to monthly mortgage pymnt if not paying it off at closing in cash (column to left)

MONTHLY PAYMENT WHEN PAYING    OFF MI AT CLOSING

if not choosing to pay MI off at closing          (the amount 2 columns to left)                        then add monthly MI                                      (1 column to left)                     

$350,000$35,000$315,000$6,300$234$1,974
      
      
$375,000$37,500$337,500$6,750$250$2,111
     
      
$400,000$40,000$360,000$7,200$267$2,247
      
      
$425,000$42,500$382,500$7,650$284$2,384
     
      
$450,000$45,000$405,000$8,100$300$2,521
      
      
$475,000$47,500$427,500$8,550$317$2,658
     
      
$500,000$50,000$450,000$9,000$334$2,794
      
      
$525,000$52,500$472,500$9,450$350$2,931
     
      
$550,000$55,000$495,000$9,900$367$3,068
      
      
$575,000$57,500$517,500$10,350$384$3,204
     
      
$600,000$60,000$540,000$10,800$401$3,341
      
      
$625,000$62,500$562,500$11,250$417$3,478
     
      
$650,000$65,000$585,000$11,700$434$3,615
      
      
$675,000$67,500$607,500$12,150$451$3,751
     
      
$700,000$70,000$630,000$12,600$467$3,888
      
      
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Wray Farlow

NC/SC Real Estate Broker 29+ years specializing in Charlotte-area new home sales & marketing - VP Sales, Shea Homes & Ryland Homes, 1990’s – 2007, period when 46% of Charlotte-area....

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