Will Buying Points Save You Money?
Should you buy points? Buying points when you close your mortgage can reduce its interest rate, which in turn reduces your monthly payment. But each "point" will cost you 1% of your mortgage balance. This calculator helps you determine if you should pay for points, or use the money to increase your down payment. Click on the "View Report" button to review your information.
Definitions
- Term
- Number of years for this mortgage. Most common terms
are 15 years and 30 years.
- Mortgage amount
- Total balance for your mortgage.
- Interest rate
- Annual interest rate for this mortgage without purchasing any discount points.
- Years in home
- The number of years you expect to live in this home or the number of years before you refinance your mortgage.
- Principal and interest
- Monthly principal and interest (PI) for this mortgage.
- Points rate
- Annual interest rate for this mortgage with discount points.
- Points
- The number of discount points you need to receive the lower rate. Each point costs 1% of your mortgage amount.
The mortgage calculators are provided by KJE Computer Solutions, LLC and made available to NUMBER1EXPERT as self-help tools for your independent use and are not intended to provide investment advice. We can't guarantee their applicability or accuracy in regards to your individual circumstances. All examples are hypothetical and are for illustrative purposes. We encourage you to seek personalized advice from qualified professionals regarding all personal finance issues.
Real Estate Contracts >Contingency Sale
Sellers may be reluctant to accept an offer that is contingent on the sale of another property. However, such a sale can be structured to minimize the risks.
The seller should put a limit on the amount of time that the buyers have to accept an offer, and they should keep their home on the market during that time. They should also reserve the right to require that any contingencies be met within a short period of time, ideally 24 to 48 hours, if they get a second offer. This is called a "First Right" contingency.
Contingent sales can work well for the sellers. The buyer is not in a position to ask for concessions on price or terms and may be able to get interim financing. Each situation is different, however, so go over the terms with your real estate agent before accepting a contingent offer.
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Which islands are considered the largest islands in the US?
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The Hawaiian Islands with 10,456 square miles are followed by Kodiak Island in Alaska at 9,510 square miles. |
 See More Real Estate Trivia > |
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Pat and Norm Brown
Frank Howard Allen Realtors
470 First Street East
Sonoma, CA. 95476
707-939-2043
707-939-2505
707-484-7159
Fax: 707-939-2044
Email: pat-brown@NUMBER1EXPERT.com
Pat Brown is one of America's NUMBER1EXPERTS™ in the Sonoma area. Since obtaining her California Real Estate License in 1989, she was awarded Sales Person of the Year in 1991 for Keegan & Coppin Co. Sonoma office, was the Frank Howard Allen Realtors Wine Country Group #1 "Top Producer" for five consecutive years (1996-2000),and received the Chairman's Circle of Excellence distinction for top production between 1999 and 2005 from that same company.
Pat says that her my real job satisfaction comes from helping people buy and sell their homes..."I care about people, I work hard, I get results, and I help my clients have a little fun throughout the process of buying or selling a home."    
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