It’s time to buy a house. What do you think? Can we afford the payments?
This is how most of us purchase a home, with the payment in mind and length of mortgage second.
One percent seems so small. One percent is a penny out of a US dollar. Until one penny out of every dollar equals $63,896. * What about half-a-percent or three-eighths of a percent?
What do you do, make monthly payments of $1,807 and pay the home off in 20 years, or choose to pay the home off in 30 years by making payments of $1,420?
*($300,000 mortgage for 30 years at 2.93% vs $300,000 mortgage for 30 years at 3.93%)