Loan Comparison: 2.88% vs 6.5%

3435 Franklin, Denver, CO 80205 · 4bd/2ba · $614,990

List Price
$614,990
Assumable Rate
2.88%
Remaining Balance
$508,765
Equity Gap
$106,225
Loan Type
FHA

Adjust Your Scenario

$30,750
$30,750$106,225
8.50%
5%10%
Second mortgage rate on the equity gap
Conventional Rate: 6.5% (30yr fixed)
Assumable Rate: 2.88% (FHA)
Blended Rate: 3.61%

Monthly Payment Comparison

New Conventional @ 6.5%
$3,693/mo
Assumable @ 2.88% + gap loan
$2,693/mo
Assumed loan: $2,112/mo
Gap financing: $580/mo
$1,000less per month with the assumable

Your Savings on This Property

3435 Franklin, Denver · 2.88% FHA vs 6.5% conventional

$1,000
per month
$12,003
per year
$360,098
over 30 years
$360,098
interest saved
How gap financing works: The equity gap ($106,225) is the difference between the home price and the remaining loan balance. You cover this with a down payment ($30,750, 5% of purchase price) and a second mortgage for the rest ($75,475 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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