Smart Homeowners Learn Mortgage Basics with David Bach

[7plymaple]

you can easily find online mortgage calculators and run the numbers to see what im saying

you also are buying a house that you only owe 80% of market value for the day you sign the loan

if you only owe 80% of the value of the home the day you buy it you can easily sell it and have a nice pile of cash any time you want or need to

and youll never be like many people out there right now who have lost their home because they lost a job and cant sell their home because they have no equity

[7plymaple]

this is good info , but it will keep you in debt much longer and cost you alot more money in interest unless you are VERY disciplined with extra payments

the best bet is a 15 year , fixed mortgage with 20% down to avoid pmi insurance

20% down sounds like alot to some people , but it simply means you rent a bit longer , which will pay off HUGE when you get the mortgage and see how much you will save unlike people who only put down 5% and buy a few years sooner

[NessaPicci]

Great information, David! if only more homeowners had listened to your advice before committing themselves to loans they could not afford...

[pattiandjon]

Thanks David, this was easy to understand and very helpful