Freddie Mac this morning reported that the average rate on a 30-year fixed-rate mortgage fell to 3.75 percent last week from 3.78 percent the prior week, a new low.
The average rate on a 15-year fixed-rate mortgage fell to 2.97 percent from 3.04 percent the previous week, also a new low.
Translation for the 30-year fixed rate, This means for every $100,000 borrowed at this rate (3.75 percent) that would be about $375.00/mo. in a principle and interest payment.
For every Million dollars borrowed that would be $3,750/mo. for principle and interest payment.
After the tax deductions that would cut about 20 to 30 percent off of that, and estimate a net payment of about $280/mo. for $100,000 borrowed, and less than $2,800/mo. net for every million dollars borrowed.
You’ll have to add in taxes and insurance which will depend on the area you’re investing, and your tax bracket.
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