Compare the three ways to buy
The payment, the cash to close, and what is left to pay
Assumption
Assumption only
$1,773/mo
Lowest payment- Down payment
- $270,000
- Funds due
- $280,934
- Interest + MI left
- $0
- First ends
- Apr 2015
Assumption
Assumption + second
$3,514/mo
+$1,741/mo- Down payment
- $27,000
- Funds due
- $39,441
- Interest + MI left
- $383,717
- First ends
- Apr 2015
New loan
New conventional
$2,514/mo
+$741/mo- Down payment
- $27,000
- Funds due
- $36,103
- Interest + MI left
- $355,306
- First ends
- Jan 2057
Monthly payment
The initial total housing payment for each option.
| Assumption only | Assumption + second | New conventional | |
|---|---|---|---|
| First mortgage | $0 | $0 | $243,000 |
| Second mortgage | — | $243,000 | — |
| First P&I | $953.62 | $953.62 | $1,646.17 |
| Second P&I | — | $1,740.88 | — |
| Mortgage insurance | — | — | $48.60 |
| Taxes, insurance & HOA | $819.50 | $819.50 | $819.50 |
| Total housing payment | $1,773.12 | $3,514.00 | $2,514.27 |
Cash to close
Down payment, closing costs and prepaids, then credits.
Down payment$27,000
Closing costs & prepaids$12,441
Usable credit−$0
Total buyer cash needed$39,441
Earnest money paid−$0
Remaining funds due$39,441
Assumption fee$1,800.00
Credit report$250.00
UMe assumption specialist (1%)$2,700.00
Title & settlement$1,825.00
Recording fee$100.00
Second-loan charges$1,250.00
Home insurance (12 months up front)$1,800.00
Insurance escrow (3 months)$450.00
Property tax escrow (3 months)$688.50
Initial HOA (3 months)$1,320.00
Prepaid interest, second (5 days)$257.98
Prepaids include a year of home insurance up front, three months of taxes and insurance in escrow, and 5 days of interest to the end of the closing month.
What is left to pay
The seller already paid down the early, interest-heavy years.
Remaining first mortgage at closing0 moOf the original 15-year loan at 7.83%
Interest already paid$70,832Through Apr 2015
Assumption only · ends Apr 2015$0
Assumption + second · ends Apr 2015, second Jan 2057$383,717
New conventional · ends Jan 2057$355,306