Loan Comparison: 4.51% vs 6.5%

5200 123rd, Thornton, CO 80241 · 3bd/3ba · $490,000

List Price
$490,000
Assumable Rate
4.51%
Remaining Balance
$115,636
Equity Gap
$374,795
Loan Type
FHA

Adjust Your Scenario

$24,500
$24,500$374,795
8.50%
5%10%
Second mortgage rate on the equity gap
Conventional Rate: 6.5% (30yr fixed)
Assumable Rate: 4.51% (FHA)
Blended Rate: 7.51%

Monthly Payment Comparison

New Conventional @ 6.5%
$2,942/mo
Assumable @ 4.51% + gap loan
$3,280/mo
Assumed loan: $587/mo
Gap financing: $2,693/mo

Your Savings on This Property

5200 123rd, Thornton · 4.51% FHA vs 6.5% conventional

$0
per month
$0
per year
$0
over 30 years
$0
interest saved
How gap financing works: The equity gap ($374,795) is the difference between the home price and the remaining loan balance. You cover this with a down payment ($24,500, 5% of purchase price) and a second mortgage for the rest ($350,295 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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