What would be a typical mortgage rate on a $300,000 home, and how much should you put down?

Question

and what would be the monthly payment?

Answer 1

Your question has a lot a variables to it, credit rating, current employment status (how long there etc), current level of debt the term of the mortgage (20 years, 30 years.)

General rules of thumb would be the more of a down payment you make the lower the interest and monthly payment.

Some general figures so you can compare how your payment varies with a 1% interest change.

With 10% ($30,000) down at 6.5% for a 20 year note payments would be $2,013.05 a month. For a 30 year mortgage with the same down payment and rate it would be $1,706.58.

Same conditions at 1 percent more, 7.5% would be $2,175.10 monthly paymets for a 20 year note or $1,887.88 for a 30 year mortgage. With the fed continually dropping the interest rate you should get an offer higher then 7.5% unless you're a bad credit risk -- lenders are nervous due to the subprime mortgage crisis.

So that 1% difference costs over $150 every month for the life of the mortgage.

Typically mortgage companies/banks get hesitant if your monthly payment would be more then 25-30% of your gross monthly income. Though if you have a high debt load they may want your housing/income ratio to be lower.

Look at your savings and other liquid assets, leave enough for a 6 month emergency and see what you left have for a down payment. The larger the down payment the better for you in the long run. It reduces the amount you borrow and gives you a significant savings on your interest over the course of the loan.

Avoid balloon payments and adjustable interest rates, that's what's hurting a lot of people now.

I disagree with the advice to never take a 30 year mortage. If an attractive fixed rate is offered you should consider it should rates go lower you can always refinance if they don't you can always make additional payments directly against the principle to reduce the interest you pay. Interesting side note, if you get a 3% raise at work each year after 14 years your making more then 50% more a month then you do now, yet your housing cost is unchanged)

Additional tip, shop arround -- do not assume the bank you've been using forever will give you the best rate.

Answer 2

Typical Mortgage Rate

Answer 3

This Site Might Help You.

RE:
What would be a typical mortgage rate on a $300,000 home, and how much should you put down?
and what would be the monthly payment?

Answer 4

Now is a great time to purchase or refinance!!

Rates are VERY LOW!!

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Calvin Lawhorn

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Lawhorn & Associates Mortgage Co.

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Answer 5

go to bankrate.com and put the name of the state for which you are looking at property first and which kind of loan product you are most interested in. There are many types of mortgages available out there. Be sure your credit report is accurate before you apply for a mortgage, and get pre-approved with a lender to save time once you find that dream home you love.

Mortgage loans at 300K are not hard to get if your finances are in order and you have the typical 20% down payment and assets, etc. At todays rates you can expect a payment around 1750.00 without taxes or insurance for a 30 year term, this is an estimate ONLY. 30 years is a long time to pay for a home, but it gets you in the door.

Answer 6

Mortgage On 300k

Answer 7

In the current mortgage and home loan market your best choice is https://tr.im/IF4bf the reason I say this is because things are always changing. After the 2008 real estate meltdown. Mortgage underwriting rules have been changing and they continue to make small changes all the time. It doesn't matter if you're looking for a mortgage with perfect credit and 20% down; or bad credit with low down payment; or even almost no money down type mortgage. Its going to be impossible to answer your question.

My recommendation is grab a quote from my previously mentioned place. You'll be able to see different mortgage programs and rates available to your personal financial profile. New home loan, mortgage refinance, equity lines of credit its all there. No matter the credit or down payment amount. Just let them know what you got and see whats possible from multiple top mortgage providers in the industry today.

Answer 8

looking at www.bersite.com ,

considering a 4% interest,
with a 30 years mortgage you have a "Total monthly payment: 1,432 $" and you pay a total of 515,608$, composed by 300,000$ + 215,608$ (for the bank).

with a 15 years mortgage you have a "Total monthly payment: 2,219 $" and you pay a total of 399,431$, composed by 300,000$ + 99,431$ (for the bank).

Answer 9

http://www.mortgage101.com/Rates/Index.asp?p=mtg101

Normally, you put down 10%
but not always
go for the 15 to 20 year mortgage.

NEVER a 30.

Answer 10

What's up, just wanted to say, I enjoyed this discussion. quite valuable replies