How much monthly morgage will you pay on a two million dollar house.?
How much monthly morgage will you pay on a two million dollar house.
That depends on the size of your down payment and the type of loan. These two factors will determine the interest rate. For example, if you put the typical 20% down, then the loan would be for $1,600,000. You can get a 30-year loan, a 15-year loan, a regular adjustable rate mortgage (ARM), a *5/1 ARM, a 7/1 ARM, a 10/1 ARM, or even an interest-only loan. The location of the house and your credit score will also influence the interest rate. Additionally, a mortgage on a vacation property (second home) usually has a higher interest rate than a mortgage on a primary residence.
Mortgages above $417,000 are called jumbo. According to http://www.mortgageloan.com/jumbo-mortgages the average interest rate on a 30-year jumbo loan as of October 12, 2009 is 5.82%. That would make the monthly payment $9,408.44.
I hope this helps.
Gary
*5/1 ARM is a mortgage that has a fixed interest rate for five years and then adjusts annually. The 7/1 and 10/1 ARM mortgages are similar, but the initial fixed-rate periods are seven years and 10 years, respectively.
