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Subject:
Business and Money
Category: Business and Money Asked by: rates-ga List Price: $10.00 |
Posted:
06 Sep 2006 11:39 PDT
Expires: 06 Oct 2006 11:39 PDT Question ID: 762772 |
Which is the least expensive way to pay off a home with interest rates and number of years to pay being the same, a regular fixed rate mortgage or a home equity loan? |
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There is no answer at this time. |
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Subject:
Re: Business and Money
From: jack_of_few_trades-ga on 06 Sep 2006 13:21 PDT |
Given that the interest rates are equal and the number of years are the same, the 2 loans should have the same payoff costs. The terms of 1 loan may be different from the other: 1) One loan may require mortgage insurance. 2) There may be fees or points associated with acquring a mortgage. 3) The home equity loan may be variable (probably not from your wording, but potentially). 4) There may be a penalty associated with paying off one of the loans quickly. |
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