Hi all,
First time home buyer purchasing with my S/O
We are doing a conventional loan Home price = 375,000
Down payment options: (not including closing costs etc) (A) 50,000 (13%) (B) ~56,250 (15%)
PMI options: (1) Traditional PMI (2) Roll $2,450 into our loan and finance the PMI
Combinations: this is where we are having trouble deciding. Obviously we’d like to put down 15%, but this would cause us to shift some $ (6,250) out of another account that we have.
I’ll list it in this format: P&I + PMI = Total monthly (not incl property tax + housing ins)
A1- 1790 + 54 = 1849 A2- (no PMI- rolled into loan) = 1808
B1- 1760 + 40 = 1,800 B2- (this would be the 15% down + rolling 1,403 PMI into the loan) = 1,768
So far we seem to be between A2 and A1. We plan to stay in the home >5-7 years. I’m not sure if saving the extra 40/month would be worth it since PMI would eventually drop off (not sure how long though - assuming we put down 13% as planned?)
B2 obviously has the lower month payments which is ideal; but leaves us with $6,250 less cash on hand to use for the inevitable repairs etc.
Sorry for the long post. I’d appreciate any info/opinions. Thanks!
Submitted October 23, 2018 at 07:44PM by newguy113 https://ift.tt/2Sbh869
