Loan Comparison: 4.57% vs 6.5%

8404 Cypress Wood, Colorado Springs, CO 80927 · 4bd/3ba · $510,000

List Price
$510,000
Assumable Rate
4.57%
Remaining Balance
$285,067
Equity Gap
$224,322
Loan Type
VA

Adjust Your Scenario

$25,500
$25,500$224,322
8.50%
5%10%
Second mortgage rate on the equity gap
Conventional Rate: 6.5% (30yr fixed)
Assumable Rate: 4.57% (VA)
Blended Rate: 6.18%

Monthly Payment Comparison

New Conventional @ 6.5%
$3,062/mo
Assumable @ 4.57% + gap loan
$2,985/mo
Assumed loan: $1,456/mo
Gap financing: $1,529/mo
$77less per month with the assumable

Your Savings on This Property

8404 Cypress Wood, Colorado Springs · 4.57% VA vs 6.5% conventional

$77
per month
$928
per year
$27,838
over 30 years
$27,227
interest saved
How gap financing works: The equity gap ($224,322) is the difference between the home price and the remaining loan balance. You cover this with a down payment ($25,500, 5% of purchase price) and a second mortgage for the rest ($198,822 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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