What's Hot: Plans Progress For a New Grocery Store at Friendship Heights Mall | Move-In Ready Townhomes at EYA's Northeast DC Neighborhoods
$400 a Month: The Difference Two Months Makes in Interest Rates
The rise in long-term interest rates over the last several weeks has been historic, with 30-year rates increasing almost 100 basis points during that time.
So today, UrbanTurf is taking a look to see how current rates are impacting mortgage payments compared to just two months ago.
We took a home with an $800,000 purchase price and assumed the buyer has excellent credit. Using the current rates and rates from early February we examined how monthly mortgage payments changed. In each case, we assumed the buyer put down a 20 percent down payment. Note that these include principal and interest, but not the cost of insurance or taxes.
story continues belowloading...
story continues above
Here are the two scenarios:
February 2022: The average mortgage rate was 3.55 percent.
Monthly mortgage payment: $2,891
Total outlay on mortgage (monthly payment x 360 months): $1,041,000
April 2022: The average mortgage rate is 4.67 percent.
Monthly mortgage payment: $3,307
Total outlay on mortgage (monthly payment x 360 months): $1,190,000
So, the difference between a rate of 3.55 percent and 4.67 percent is $416 a month or $149,000 over the life of the loan.
See other articles related to: interest rates, mortgage rates
This article originally published at https://dc.urbanturf.com/articles/blog/400-a-month-the-difference-two-months-makes-in-interest-rates/19478.
Most Popular... This Week • Last 30 Days • Ever
Clarion Partners, the owner of the Chevy Chase Pavilion, has filed modifications to i... read »
The new development keeps humming along in DC's Buzzard Point.... read »
It is early in the year, but there are already a number of areas around DC where home... read »
Where it's cheaper to build than buy; Elon Musk is not making Texas happy; and the wo... read »
If you are tired of getting lost in their stores, IKEA has a new location planned tha... read »
At an ANC 4A meeting on Tuesday night, representatives from Whole Foods said that the... read »
The application to raze the infamous fast food location at New York and Florida Avenu... read »
While homeowners must typically appeal by April 1st, new owners can also appeal.... read »
The application has been filed for the American City Diner along Connecticut Avenue i... read »
The 650,000 square-foot project, designed by Adjaye Associates and Hickok Cole, will ... 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 »
- Whole Foods at Walter Reed To Open This Summer
- The End is Here: Raze Permit Filed For Wendy's at Dave Thomas Circle
- How to Appeal Your DC Property Tax Assessment
- Raze Application May Spell The End For One of DC's Last Diner Buildings
- A First Look at the Five-Building Centerpiece of the St. Elizabeth's Redevelopment
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