For example, an $80,000 house's monthly payment would be about $800. A $125,000 house's payment would be about $1250. The payment of a $200,000 house is about $2,000, etc. etc. Is this what you find? An answer from a Real Estate agent would be helpful.
2007-05-07 08:34:46 · 6 answers · asked by FUNdie 7 in Business & Finance ➔ Renting & Real Estate
No that is not completely accurate. A house payment is comprised of three things, principal and interest, taxes and insurance. The principal and interest portion of the loan is generally around $6 per thousand borrowed per month. That means an $80,000 house would cost $480 per month in principal and interest. Insurance is usually $50-$100 per month on an average house in a decent area and taxes vary greatly from place to place. Where I live, my county taxes are about $700 per year (about $60 per month). If I were in the next county over, which is not as nice, they would be 3 times that amount.
You can also have PMI or FHA premium and flood insurance in the payment depending on the loan and the area in which the home is located.
I hope this helps.
P.S. Edwardogden2000 I think your math is a little off.
Mortgage payment calculator
Mortgage amount $ 80000 (Do not use commas.)
Mortgage term 30 years
Interest rate * 6 % per year
Payment $479.61
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2007-05-07 09:34:00 · answer #1 · answered by Anonymous · 0⤊ 0⤋
That's probably a good "rule of thumb," but the amount of the monthly payment is not determined by the sale price of the property. The monthly payment is based on the loan amount, the interest on the loan, the homeowner's insurance and the real estate taxes. A $125,000 home in one community may have taxes of $600, and the same home in another town may have annual real estate taxes ten times that amount. The type of construction and location of the home will be factors in determining the homeowner's insurance. So, basically, there are too many variables to allow you to use your rule of thumb in most cases. If you see a home you like, the real estate agent can give you a good estimate of what your payments would be if you can tell him or her how much money you have for a down payment. If you look at homes on realtor.com, you will see an estimated monthly payment on the listing.
2007-05-07 08:49:05 · answer #2 · answered by Suzianne 7 · 0⤊ 0⤋
We paid what you did and our montly payment is $1500. You can refinance, but remember, if you roll the closing costs in it just adds to the final amount you end up paying on the house. We also have been in our house for 3 years. We looked into refinancing but found that it would only drop our paymehnt like $110/month and we didn't want to do it for less than $200/mo. We have a 3 bdrm, 1800 SF house with .35 acres on a greenbelt. Sometimes it's better to get other debts down like credit cards or car payments instead of refinancing.
2016-05-17 21:06:09 · answer #3 · answered by ? 3 · 0⤊ 0⤋
Not necessarily. It depends on interest rates and terms. Plus is the $800 piti or pi.
Example: A $80k house at 6% interest on a 30 fixed rate mortage is $600. Taxes, insurance and PMI would raise this.
2007-05-07 08:48:34 · answer #4 · answered by edwardogden2000 3 · 0⤊ 0⤋
No. The monthly payment is dependent on the Mortgage amount, interest rate, term (length-#yrs), amortization type (adjustable, fixed (direct reduction), balloon, or interest only) property taxes, insurance, private mortgage insurance. A lot of these variables are dependent on the market/location. Others are dependent on the type of loan you receive.
2007-05-07 09:09:59 · answer #5 · answered by therainbowseeker 4 · 0⤊ 0⤋
If you are talking about principal and interest payments (ie not including taxes and insurance, that would be the case at around 11.6% interest.
Now, I am guessing you are referring to including principal, interest, taxes, and insurance or PITI.
This would vary too much from area to area, as property taxes and insurance would vary too much to state it.
For example, on $100,000 mortgage, at 6.5% interest, the principal and interest payment would be about $632.00/month. Here, the taxes would cost about $100/month and the insurance would be around $25/month, so the total payment would be around $757.00/month.
In many areas, the taxes and insurance would be much higher.
If you want a free financial calculator, go to my website below, and on the left is a financial calculator.
2007-05-07 08:46:38 · answer #6 · answered by Anonymous · 0⤊ 0⤋