Loan Comparison: 5.22% vs 6.5%

20577 Shefield, Parker, CO 80138 · 4bd/4ba · $675,000

List Price
$675,000
Assumable Rate
5.22%
Remaining Balance
$565,726
Equity Gap
$147,356
Loan Type
FHA

Adjust Your Scenario

$33,750
$33,750$147,356
8.50%
5%10%
Second mortgage rate on the equity gap
Conventional Rate: 6.5% (30yr fixed)
Assumable Rate: 5.22% (FHA)
Blended Rate: 5.77%

Monthly Payment Comparison

New Conventional @ 6.5%
$4,053/mo
Assumable @ 5.22% + gap loan
$3,987/mo
Assumed loan: $3,113/mo
Gap financing: $874/mo
$66less per month with the assumable

Your Savings on This Property

20577 Shefield, Parker · 5.22% FHA vs 6.5% conventional

$66
per month
$794
per year
$23,813
over 30 years
$61,895
interest saved
How gap financing works: The equity gap ($147,356) is the difference between the home price and the remaining loan balance. You cover this with a down payment ($33,750, 5% of purchase price) and a second mortgage for the rest ($113,606 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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