20% down 3.657% 1 point or 25% down 3.25% .25 point

[Michael C.]

30 year fixed, which one would you choose?

250k single family, 1500.00 to 1600.00 a month rent

[Bill B.]

1) $50k down minus $2k in points is $202k loan at 3.657 = $925/mo $131k interest

2) $62.5k down minus $500 in points is $188k loan @ 3.25% - $820/mo $106k interest

$12.5k saves you $1500 in points plus $25k in interest and increases cashflow $100/mo. I’d do it instantly, you should if you have the money. You earn 12% day 1 when you save $1500 in points. Then you earn almost 4% on your money for 30 years (rule of 115 rough estimate.)

This also makes it easier to qualify for future loans as your DTI is lower, your balance is lower if you sell before paying off, etc etc.