Loan Comparison: 2.98% vs 6.5%

6155 Mallow, Frederick, CO 80530 · 3bd/2ba · $267,500

List Price
$267,500
Assumable Rate
2.98%
Remaining Balance
$177,248
Equity Gap
$91,025
Loan Type
FHA

Adjust Your Scenario

$13,375
$13,375$91,025
8.50%
5%10%
Second mortgage rate on the equity gap
Conventional Rate: 6.5% (30yr fixed)
Assumable Rate: 2.98% (FHA)
Blended Rate: 4.66%

Monthly Payment Comparison

New Conventional @ 6.5%
$1,606/mo
Assumable @ 2.98% + gap loan
$1,342/mo
Assumed loan: $745/mo
Gap financing: $597/mo
$264less per month with the assumable

Your Savings on This Property

6155 Mallow, Frederick · 2.98% FHA vs 6.5% conventional

$264
per month
$3,166
per year
$94,971
over 30 years
$95,744
interest saved
How gap financing works: The equity gap ($91,025) is the difference between the home price and the remaining loan balance. You cover this with a down payment ($13,375, 5% of purchase price) and a second mortgage for the rest ($77,650 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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