Loan Comparison: 3.18% vs 6.5%

1515 McArthur, Colorado Springs, CO 80909 · 3bd/1ba · $355,000

List Price
$355,000
Assumable Rate
3.18%
Remaining Balance
$256,715
Equity Gap
$98,285
Loan Type
VA

Adjust Your Scenario

$17,750
$17,750$98,285
8.50%
5%10%
Second mortgage rate on the equity gap
Conventional Rate: 6.5% (30yr fixed)
Assumable Rate: 3.18% (VA)
Blended Rate: 4.45%

Monthly Payment Comparison

New Conventional @ 6.5%
$2,132/mo
Assumable @ 3.18% + gap loan
$1,727/mo
Assumed loan: $1,107/mo
Gap financing: $619/mo
$405less per month with the assumable

Your Savings on This Property

1515 McArthur, Colorado Springs · 3.18% VA vs 6.5% conventional

$405
per month
$4,860
per year
$145,801
over 30 years
$145,801
interest saved
How gap financing works: The equity gap ($98,285) is the difference between the home price and the remaining loan balance. You cover this with a down payment ($17,750, 5% of purchase price) and a second mortgage for the rest ($80,535 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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