Loan Comparison: 5.3% vs 6.5%

833 Dirksland, Colorado Springs, CO 80907 · 3bd/2ba · $449,900

List Price
$449,900
Assumable Rate
5.3%
Remaining Balance
$407,761
Equity Gap
$41,533
Loan Type
VA

Adjust Your Scenario

$22,495
$22,495$41,533
8.50%
5%10%
Second mortgage rate on the equity gap
Conventional Rate: 6.5% (30yr fixed)
Assumable Rate: 5.3% (VA)
Blended Rate: 5.44%

Monthly Payment Comparison

New Conventional @ 6.5%
$2,701/mo
Assumable @ 5.3% + gap loan
$2,411/mo
Assumed loan: $2,264/mo
Gap financing: $146/mo
$291less per month with the assumable

Your Savings on This Property

833 Dirksland, Colorado Springs · 5.3% VA vs 6.5% conventional

$291
per month
$3,489
per year
$104,684
over 30 years
$104,078
interest saved
How gap financing works: The equity gap ($41,533) is the difference between the home price and the remaining loan balance. You cover this with a down payment ($22,495, 5% of purchase price) and a second mortgage for the rest ($19,038 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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