Principal, Thirty Dollars, Two Hundred Thousand Dollar discussed on The Smart Investor with Wayne Stutzer

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You might not be shopping apr's and there's other ways arms apr's are a little bit off because they make some some future adjustments have been arm so really it's what does the rate and what is the fee to get it and there's a trade off on a two hundred thousand dollar loan it's about thirty dollars a month for a quarter percent interest quarter percent sounds like a lot man i'm going to go over there i don't mind that that lender charges and origination fee but put yourself the way i turn the tables on a client and i say if somebody said to you you can either have two thousand dollars a closing or thirty dollars a month as long as you have this loan but there's no guarantee which would you rather have the guaranteed to grand closing or the thirty dollars a month as long as you have alone that's a lot of math it is or you most people say i want the money i'll have two thousand thirty dollars a month that's okay right i can adjust thirty dollars a month the two grand that that might get me a living room set that i need to get in my house without putting on a credit card and pay thirteen percent interest on so i'll do that instead but if you are if you're talking to lender that doesn't give you that option you wanna pay an origination fee or do you want to pay discount point if they're not talking to you about that and allowing you to make that choice they're doing you a disservice great advice i love that because it is a it's a foreign language to us as buyers at our it is apr how much you're gonna pay over the life of the loan and what is the total amount of payments and the percent of interest to principal i mean there's all these numbers on their designed as a consumer to help you help you and if everybody if every lender does that and you actually have these member interest rates change daily so in a way if you're gonna go to one stockbroker.

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