The Blended Rate Strategy: First + Second Mortgage Explained
Thursday, June 04
The blended rate strategy is how most buyers make assumable mortgages work when they can't cover the full equity gap with cash. You assume the low-rate first mortgage, get a second mortgage for the equity gap, and your combined (blended) rate is still well below market.This is the strategy that m...
The Blended Rate Strategy: First + Second Mortgage Explained
Thursday, June 04
# The Blended Rate Strategy: First + Second Mortgage ExplainedThe blended rate strategy is how most buyers make assumable mortgages work when they can't cover the full equity gap with cash. You assume the low-rate first mortgage, get a second mortgage for the equity gap, and your combined (blende...
I've Closed 90+ Assumable Mortgages. Here's What Most Agents Get Wrong
Wednesday, June 03
# I've Closed 90+ Assumable Mortgages. Here's What Most Agents Get Wrong.I keep getting calls from agents who say their buyers are stuck. Qualified on paper. The home is right. The payment isn't. $3,200 a month on a $500K house just doesn't fit their life, and nobody knows what to do about it.Tha...
What Is the Equity Gap in Assumable Mortgages and How to Cover It
Tuesday, June 02
What Is the Equity Gap and How to Cover It The equity gap in an assumable mortgage is the difference between the home's current purchase price and the remaining assumable loan balance — it's the amount the buyer must bring to closing in addition to taking over the loan. For example, if a home sel...
The Equity Gap Explained: What You Actually Need to Pay on an Assumabl
Tuesday, June 02
The Equity Gap Explained: What You Actually Need to Pay on an Assumable Mortgage The equity gap is the part of assumable mortgages that trips people up. Once you understand it, the whole thing clicks. But a lot of buyers hear "you need to cover the equity" and immediately think it's too complicat...
How to Calculate Savings on an Assumable Mortgage
Tuesday, June 02
# How to Calculate Savings on an Assumable Mortgage The math on assumable mortgages is what makes them so compelling. Once you see the numbers, it's hard to look at a 7% mortgage the same way. Let me walk you through exactly how to calculate your savings. ## The Basic Formula Your savings come fr...