Mortgage Payment Calculator

While interest rates fluctuate, a $400,000 home with a 20% down payment at a 6.5% interest rate results in a principal and interest payment of approximately $2,022. However, in El Paso County, you must also factor in property taxes and homeowners insurance, which typically add $300–$500 to your monthly PITI.

For our Veterans in the Colorado Springs area, as anywhere else, a VA loan allows for $0 down. The only fee that may be added to the loan in a purchase is the VA funding fee, (ranging from 1.25% to 3.3%). The payment is based on that loan amount along with the taxes and insurance for that property. Contact Vic for the exact amount for your situation as well as obtaining your VA Certificate from the VA.

That depends on your credit score and down payment. While FHA loans are excellent for buyers with lower credit and tight debt ratios, they do require mortgage insurance premium (MIP) for the life of the loan if you are putting 3.5% down. Conventional loans will price better with a higher credit score, but they also allow you to remove private mortgage insurance once you reach 20% equity. You don't need any PMI if you put down more than 20%, which is not true for an FHA loan. I generally tell my clients that the FHA is a great starter loan; it will get you in the house, but you will eventually want to refi that into a conventional loan.

A temporary buy-down reduces your interest rates for the first one to three years of the loan, lowering your payments during that period. The most common structure is a 1-0 buy-down that lowers the interest rate for the first year. As an example, with an interest rate of 6% on the underlying 30-year note, a temporary 1-year buy down would lower it to 5% for the first year and then 6% for the remaining 29.

Regardless of whether you have a buy-down or not, you must qualify for the underlying rate for the whole term of the mortgage.