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To: RockinRight
Oh we will be in this house another 10 years anyway...my son is 16 and off to college soon so I won’t sell this house until he is out on his own
57 posted on 01/31/2008 8:23:00 AM PST by 4everontheRight ("Boy, those French: They have a different word for everything! "- Steve Martin)
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To: 4everontheRight

As long as it’s apples-to-apples...then you’re better off with higher closing costs and lower rate.

Here’s how you can tell the TOTAL loan cost, and it’s easier than APR.

Assuming you are financing the closing costs into the loan, this always works:

Take two proposals, either from the same company or different.

Have an amortization schedule made for each loan option you are considering.

Look at the ten year mark and see what you owe at that point for both cases.

THEN - take your monthly payment in each scenario and multiply it by 120 months (number of payments in ten years) and add that to the amount you’ll owe in ten years.

That’s how much each one will really cost you in that amount of time, including what you’ll owe when you go to sell. Forget APR’s and all that, this method works.


58 posted on 01/31/2008 8:28:19 AM PST by RockinRight ("Mike Huckabee appeals to the type of person who thinks pro-wrestling is real." - TQC)
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