One year ago, the average on a 30-year fixed-rate mortgage was 3.55 percent. On Thursday morning, Freddie Mac reported 4.40 percent with a 0.7 point as the average. So, how would the difference impact your mortgage payments?
Using this $839,000, three-bedroom rowhouse in Kent, we took a look at the difference in monthly payments, based on the today’s interest rates as compared to last year’s.
Let’s assume that in each case, the homeowner puts down 20 percent and takes out a loan for the remaining $671,200.
Here are the two interest rate scenarios.
August 2012: The average mortgage rate was 3.55 percent.
Monthly Mortgage Payment: $3,032
Total Outlay on Mortgage (Payment x 360 months): $1,091,520
August 2013: The average mortgage rate is 4.40 percent.
Monthly Mortgage Payment: $3,361
Total Outlay (Payment x 360 months): $1,209,960
So, the difference between a rate of 3.55 percent and 4.40 percent is about $329 a month or $118,440 over the life of the loan.
Here’s a look at the path of rates since January 2010:
See other articles related to: mortgage rates
This article originally published at http://dc.urbanturf.com/articles/blog/4.40_vs._3.55_the_difference_a_year_makes/7432
Most Popular... This Week • Last 30 Days • Ever
Following a bankruptcy auction, sale closed on the property last November.... read »
The new home also has an owner's suite that spreads out over 3,300 square feet.... read »
Over 8,000 apartments were absorbed in DC in 2021 for the first time.... read »
A neighbor of the priciest home to ever sell in the DC region appears to be taking in... read »
The developer began sharing plans for the project in October.... read »
UrbanTurf is re-running its primer on property taxes which outlines a few things that... read »
UrbanTurf has compiled virtual looks at large new developments around the DC region.... read »
The H Street Corridor once epitomized DC's development boom, but construction activit... read »
The upzoning would mandate additional Inclusionary Zoning units for developments alon... read »
The Shaw pipeline is starting the year off hot.... read »
With this weekend's DC houseboat tour a day away, UrbanTurf thought it only fitting t... read »
President Obama travels to Denver this morning to sign the stimulus bill that has bee... read »
In this week's installment of Ask An Agent, a reader wonders if there is a rule for h... read »
As The Wharf prepares to begin construction, DC's houseboat community heads to its ne... read »
In this week's installment of Ask An Agent, a reader asks a fairly common question th... read »
DC Real Estate Guides
Short guides to navigating the DC-area real estate market
We've collected all our helpful guides for buying, selling and renting in and around Washington, DC in one place. Visit guides.urbanturf.com or start browsing below!
Intro guides for first-time home buyers
Awesome and unusual real estate from across the DC Metro