Loan Comparison: 3.76% vs 6.5%

10540 Summer Ridge, Colorado Springs, CO 80831 · 5bd/3ba · $584,999

List Price
$584,999
Assumable Rate
3.76%
Remaining Balance
$268,306
Equity Gap
$316,693
Loan Type
VA

Adjust Your Scenario

$29,250
$29,250$316,693
8.50%
5%10%
Second mortgage rate on the equity gap
Conventional Rate: 6.5% (30yr fixed)
Assumable Rate: 3.76% (VA)
Blended Rate: 6.21%

Monthly Payment Comparison

New Conventional @ 6.5%
$3,513/mo
Assumable @ 3.76% + gap loan
$3,454/mo
Assumed loan: $1,244/mo
Gap financing: $2,210/mo
$58less per month with the assumable

Your Savings on This Property

10540 Summer Ridge, Colorado Springs · 3.76% VA vs 6.5% conventional

$58
per month
$701
per year
$21,036
over 30 years
$21,036
interest saved
How gap financing works: The equity gap ($316,693) is the difference between the home price and the remaining loan balance. You cover this with a down payment ($29,250, 5% of purchase price) and a second mortgage for the rest ($287,443 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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