Quote:
Originally Posted by cantdrv55
Help me think this through.
I picked a 4.6% with 1 point for 30 years over 4.45 with 1 point for 15 years because the 30 yr mortgage gives me the flexibility to make double or almost double payments which will decrease the time to pay off significantly. It won't lower it to 15 years but close enoigh for me. I didn't want to get locked into a higher 15 yr payment just in case I might not be able to afford it in the future.
Also, I chose the 1 point because I plan to stay in the mortgage for a while and in my calculations, the fees can be paid off in 3.4 years or so.
How's my logic? Did I make the right choice?
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I guess it would depend on how secure your income is, income to payment ratio, and if you have the discipline to make the extra payments. Both are fantastic rates and I'd like to know what bank you are dealing with. I just pulled the trigger on a 4.8% fixed 15yr. over a 5.8 fixed 30 year. Paying off in 15 years saves you a LOT of dough if you plan to stay there long term.
Bank ?? It's not too late for me to dump the one I just applied for ....
