When you add a mortgage payment and the interest on a house, is it normal for that number to be more than the?
Out of interest, I did a quick mortgage calculation with an online mortgage calculator.
My specifications were as follows –
Home Value: $ 285,000
Loan amount:$ 200,000
Loan term:30 years
I only adjusted the home value and loan value, since I have no idea what the ‘going rate’ is for the others. I was stunned to find that in the results, the total payment of the life of the mortgage would be $ 493,386.57.
The total tax paid would be $ 106,875.00, and the total interest paid would be $ 186,511.57.
the total of these two numbers is $ 293,386.57, or $ 8386.57 MORE than the selling price of the home?
Never one for percentages, but that sounds like the neighborhood of 110% of the home value.
Am I missing something here, or (not to be crude) but are buyers literally getting ****** every which way? And what to do? put down a gigantic deposit and buy a cheaper place?
– presumably its not that much for the life of the mortgage since you are paying x percent of the balance, not the total?