How much is your mortgage payment going to be?
To start you should know that your mortgage payment is comprised of your principal and interest, taxes, and home insurance.
For every $100,000 on the sales price figure about a $450 principle and interest payment. Depending on national interest rates at the time you watch this video it could be a little more or less in either direction.
Now regarding taxes figure about 1.5% to 2% of whatever the total purchase price. I Did a video that covers this topic more in depth and shows you ways to save on your taxes every year.
Finally for home insurance there’s multiple things to consider on what your payment will come out to annually. Things such as does the home fall and the flood zone? Does it have storm protection? Does the electric panel have aluminum wiring or is it a brand that insurance companies consider high risk and you get charged more for? Does the home have polyurethane piping? What’s the age of the roof? How much SQ footage does it have? Every one of these details and more are going to affect what your insurance payment comes out to and that’s why each and every home is different when it comes to answering this part of the question.
Now I spoke to one of my insurance reps and they said a good rule of thumb to use is for every 1,000 ft² figure about $2,000 to $3,000 insurance payment before any savings kick in.
If you have any further questions regarding this topic feel free to reach out to me at any time.
If you plan to be in the market for a new home in the near future I’d love to help you move your memories to a new location. Remember one thing, Mike LaChance your home in good hands have a great day!