A more useful statistic on that is figuring out how much it costs for this loan. $413,500 over the course of a year at 17% interest is a touch over $70,000.
That means that you have to pay the bank $70,000 the first year before you can actually start paying down any of your balance due.
Assuming that your loan balance is 413,500 after any down payments were made, and you don’t have any PMI, and you have a 1% annual property tax, you’ll be paying a touch over $7,000 a month.
Of that $7,000, about $613 of it will go towards the principal balance.
And if you find yourself in this situation, or if your kids do, or whatever, the best thing that you could do is, while the note is young, pay as much extra on your mortgage balance as you can possibly afford. Every 613 extra dollars you pay at the start will save you $6,400.
A more useful statistic on that is figuring out how much it costs for this loan. $413,500 over the course of a year at 17% interest is a touch over $70,000.
That means that you have to pay the bank $70,000 the first year before you can actually start paying down any of your balance due.
Assuming that your loan balance is 413,500 after any down payments were made, and you don’t have any PMI, and you have a 1% annual property tax, you’ll be paying a touch over $7,000 a month.
Of that $7,000, about $613 of it will go towards the principal balance.
And if you find yourself in this situation, or if your kids do, or whatever, the best thing that you could do is, while the note is young, pay as much extra on your mortgage balance as you can possibly afford. Every 613 extra dollars you pay at the start will save you $6,400.