Loan Comparison: 3.77% vs 6.5%

3415 Michigan, Colorado Springs, CO 80910 · 4bd/2ba · $360,000

List Price
$360,000
Assumable Rate
3.77%
Remaining Balance
$125,920
Equity Gap
$234,080
Loan Type
VA

Adjust Your Scenario

$18,000
$18,000$234,080
8.50%
5%10%
Second mortgage rate on the equity gap
Conventional Rate: 6.5% (30yr fixed)
Assumable Rate: 3.77% (VA)
Blended Rate: 6.76%

Monthly Payment Comparison

New Conventional @ 6.5%
$2,162/mo
Assumable @ 3.77% + gap loan
$2,246/mo
Assumed loan: $585/mo
Gap financing: $1,661/mo

Your Savings on This Property

3415 Michigan, Colorado Springs · 3.77% VA vs 6.5% conventional

$0
per month
$0
per year
$0
over 30 years
$0
interest saved
How gap financing works: The equity gap ($234,080) is the difference between the home price and the remaining loan balance. You cover this with a down payment ($18,000, 5% of purchase price) and a second mortgage for the rest ($216,080 at 8.5%). Even with two payments, the blended cost is typically much lower than a new conventional loan. We work with lenders who specialize in assumption gap financing.
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