Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
I am considering selling my house in the burbs then buying a house in the mountains and a condo in town (near Denver). Is a 20% down payment necessary on a non-primary residence? I plan to pay cash for the house and do a mortgage for the condo. As long as I call the condo my "primary residence" can I get a loan with less than 20% down?
3-5% Down payment if Primary. 2.625% on a 15-year*; 2.875% on a 30 year. (Mortgage insurance will be significantly higher at 3% down)
10% minimum Down if Second Home. Still looking at about 2.625% on a 15-year*, 2.875% on a 30-year.
*That rate on a 15-year is costing about .125 Discount at the moment for both scenarios above; 2.75% yields about .375 Lender Credit for both 15-year fixed scenarios above.
Last edited by Pfhtex; 08-27-2020 at 05:20 PM..
Reason: This is not a solicitation.
Have you been in your residence 2 of the previous 5 years? This could make a difference, according to the IRS.
Are you VA? This could eliminate your "20% down" stress.
BTW, you don't need 20% down, but you may end up with PMI...
I have been in my residence 7 years. I don't qualify for VA unfortunately. I am also hoping to avoid paying capital gains since it has appreciated 250-300K since I purchased it. I suppose being able to figure in the sales costs helps.
I have been in my residence 7 years. I don't qualify for VA unfortunately. I am also hoping to avoid paying capital gains since it has appreciated 250-300K since I purchased it. I suppose being able to figure in the sales costs helps.
You'll get to exclude $250,000 of the gain ($500,000 if married). There's probably a variety of costs that can erode the rest of the gain and make the tax minimal. Have you made any capital improvements to the home?
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
