Found out there payments were $500 more a month at closing?

[SoCalCpl2]

Originally Posted by Larry Caldwell

Lack of money management skills is why so many people don't have any money. I could put $50k on a credit card, and might consider it if I knew where the money was coming from to pay it off before I got whacked with the interest. Borrowing $45k is actually pretty easy, and as long as the interest rate is less than 4% plus the mortgage rate, you come out ahead right out of the gate, and way ahead as the loan balance drops.

Sorry if you can put $50,000 on a credit card you are above a whole lot of people already....

And NO borrowing $45,000 is NOT pretty easy to most people.. Just because you can doesn't mean everyone can.. Again please refer tot he silver spoon up the wazoo...

[FCNova]

Originally Posted by Adrian4488

This is why I'm afraid to buy a house. My friend said at her closing they said they calculated wrong and the PMI insurance was $500 a month. If you go in thinking your mortgage is going to be let's say $1500 and then find out you have to add $500 to that and can't afford that? How can they pull that last minute? I've heard a lot if senarios like this. Is that the norm?

I've had my closing costs increase last minute, which is really annoying. But I've closed on several transactions and never had the monthly payment change much. The thing is you can easily calculate that yourself, because you know the loan amount, and interest rate, and loan term. There's a billion free online calculators that will tell you your monthly payment. Then you just have to add in taxes and insurance. I could see if a lender maybe miscalculated taxes and insurance, but again that's readily available information the buyer could double check themselves.

[jumper_girl221]

What's more likely is that she saw her disclosure statement which has the payment and interest, but didn't look at the page with the payment that includes the escrow amount.