which choice sounds better

Question

hello bigger pocket fam! I'm a little confused here I was given 2 different options and don't know which is better, I would like to hear your guys opinions since you are experts: which of these 2 options are better and why, thanks for your time

With 15% down the par rate would be 7.375% as of today for a 30-year fixed conventional investment mortgage. Approximately $763 monthly principal and interest payments on 130k with 15% down.
With 20% down the par no points paid rate would be 6.875% as of today for a 30-year fixed conventional investment mortgage. Approximately $526 monthly principal and interest payments on 100k with 20% down.

Paul De Luca · Answer

@Christina Venegas

If your goal is primarily cash flow, 20% down.

If you prefer a balance of cash flow and a bit more liquidity, 15% down.

Personally, I would prefer the lower rate and higher cash flow but you should do what makes more sense for your situation.

Jonathan Taylor Smith · Answer

@Christina Venegas - Confused... The difference between 15% and 20% down lowers your resulting mortgage from $130K to $100K? Setting that aside, my answer to the question of putting more down to get a lower rate is - how long will it take me to recoup that extra down-payment from the lower monthly payment? And what else could I do with those funds NOW, versus having a slightly lower monthly payment?