Apr
07

What is the best way to finance a 50k house purchase?

Purchase house
by wallyg

Question by Brad: What is the best way to finance a 50k house purchase?
I am thinking about buying a property for about  50k while the housing market is still low. But I only have around 20k in savings. I don’t want to use it all because most likely the property will need some repairs. So, what is the best finance strategy  How much Do I or should I use for this home purchase?
Thanks.

$50,000   Sales Price

20%  =  $10,000 Downpayment

80% = 40,000 Loan

Summary: $ 10k downpayment  $ 40k mortgage

There are other options requiring less down-payment but this would give you the best interest rate and monthly payment.

Get a home inspection before your purchase to make sure the home doesn’t need major repairs.

And last but not least get a fixed rate mortgage.

Give your answer to this question below!

About Kristofer Nance

Kristofer Nance, Real Estate Broker with Nance & Associates, Realtors in Fredericksburg VA
Owner/Agent of Nance & Associates, Insurance.

Comments

  1. Willliam Thomas says:

    I agree. 10K down payment, 40K mortgage.

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