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Archipelago

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« on: August 17, 2019, 06:56:28 PM »
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« Last Edit: August 21, 2019, 07:12:33 PM by Archipelago »

SwordGuy

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Re: 30 year mortgage at 5.6% or 15 year at 3.125%
« Reply #1 on: August 17, 2019, 07:14:20 PM »
15 year if I could afford the payments.   (Then again, if I couldn't afford 15 year payments it probably means I can't truly afford 30 year payments either...)

I can beat 3.125% in the market without trying real hard, but 5.6% is a lot harder to beat.

v8rx7guy

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Re: 30 year mortgage at 5.6% or 15 year at 3.125%
« Reply #2 on: August 17, 2019, 07:20:00 PM »
Why such a huge spread?  I just locked in at 3.500% for a 30yr

AnxietyFly

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Re: 30 year mortgage at 5.6% or 15 year at 3.125%
« Reply #3 on: August 17, 2019, 07:50:29 PM »
Why such a huge spread?  I just locked in at 3.500% for a 30yr

Where did you get that?

v8rx7guy

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Re: 30 year mortgage at 5.6% or 15 year at 3.125%
« Reply #4 on: August 17, 2019, 08:16:56 PM »
Why such a huge spread?  I just locked in at 3.500% for a 30yr

Where did you get that?

Local credit union

sailinlight

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Re: 30 year mortgage at 5.6% or 15 year at 3.125%
« Reply #5 on: August 17, 2019, 08:47:17 PM »
You really need to shop around if you're getting a 30 year at over five percent. It should be less than four if your credit is decent.

Goldy

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Re: 30 year mortgage at 5.6% or 15 year at 3.125%
« Reply #6 on: August 17, 2019, 08:54:44 PM »
AimLoan has 30yr loans for 3.625%

RWD

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Re: 30 year mortgage at 5.6% or 15 year at 3.125%
« Reply #7 on: August 17, 2019, 10:10:58 PM »
That is exactly my mortgage: 15 years at 3.125%. The 30 year fixed rate we were offered was 3.875%, but we don't plan to stay here long enough for that to have been worth it.

moonpalace

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Re: 30 year mortgage at 5.6% or 15 year at 3.125%
« Reply #8 on: August 18, 2019, 05:08:31 AM »
Why such a huge spread?  I just locked in at 3.500% for a 30yr

Where did you get that?

Local credit union

We're currently locked in on a 30-year 3.5% from Rocket Mortgage. Credit scores for wife and I are ~800.

Bernard

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Re: 30 year mortgage at 5.6% or 15 year at 3.125%
« Reply #9 on: August 18, 2019, 12:29:55 PM »
First, as others have said, if you pay 3.125% for a 15 year, you'll be able to get a 30-year for under 4%.
Shop around.

That out of the way, it's a 30-year all the way, even if Dave Ramsey disagrees, and here is the reason why:

https://www.youtube.com/watch?v=BJ3xhjqk52A

Ichabod

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Re: 30 year mortgage at 5.6% or 15 year at 3.125%
« Reply #10 on: August 18, 2019, 12:58:57 PM »
At that spread, I'd go for the fifteen. It would take years, maybe a decade, before any investments could overcome the interest savings. The interest is on a much larger balance even if you have investment options with a higher rate of return.

 

Wow, a phone plan for fifteen bucks!