The best way to figure out he cost of buying a home is using the cost vs value analysis. The Price and the Payments (cost) of a home can be dramatically different because of financing.
Here is an example:
A $200,000 home purchased with a 30-year fixed rate loan @ 4.625% = $1028 per month today. If you bought that same home at a lower price of $180,000 but rates have risen to 6.5%, it would cost you $1137 per month. In other words, paying less could end up costing more if mortgage rates rise.
Here is an example:
A $200,000 home purchased with a 30-year fixed rate loan @ 4.625% = $1028 per month today. If you bought that same home at a lower price of $180,000 but rates have risen to 6.5%, it would cost you $1137 per month. In other words, paying less could end up costing more if mortgage rates rise.
Rates are now at an all time low....just sayin
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