All Forum Posts by: Vivian Sung

 Thank you for responding! 

Yes for sure!

10% down, 6.875, 3 points (PMI $80/mo)

25% down, 6.625%, 0.38 points

monthly payment higher by about $400 with 10% down option.

COC "looks" better in Year 1 with 10% down, but about $6K more cashflow annually with 25% down.

This is a bit where my confusion is...

Thank you!!

Newbie investor:

Thoughts about 10% down with 3 points versus 25% down with 0.38 points, 30 year conventional for a STR? This is for a $255k loan, plan to buy and hold. Not turnkey but no major rehab- mainly cosmetic value add. Initially was going to do 25% down for lower points, but not sure if I'm thinking about this right from an investment standpoint, and second guessing now.

Pros of 10% down:

Less money tied up in investment means more money to use on others

Cons:

More points and money down the drain not towards equity

If downturn and home prices go down will have even less equity in the home.

Now I’m thinking I should go with the 10% since it is a buy and hold??
What am I missing?

thank you.