Home Buying in Swampscott>Question Details

Debbie, Other/Just Looking in Lynn, MA

How is it possible that an owner bought the house in 2002 for $369,000 and owes $317,000 in 2010.?

Asked by Debbie, Lynn, MA Wed Jun 2, 2010

We are inquiring about this house and asked what is owed on it.

Help the community by answering this question:

Answers

3
Depending on the amount down and the interest rate, very possible
0 votes Thank Flag Link Wed Jun 2, 2010
Look at an amortization table. It takes forever to pay off the principle amount of a mortgage.

http://www.trulia.com/mortgage-calculators/
0 votes Thank Flag Link Wed Jun 2, 2010
That makes perfect sense. Assume they bought for $369,000 and put 5% down. That means they financed $350,550. Assume they had a 7% 30 year mortgage. They'd owe almost exactly $317,000.

You can play around with those numbers a bit--maybe a bit more down, or slightly higher interest rate, or a first and a second at different rates coming up to a bit more than 7%. Still, that could be pretty much on target.

Hope that helps.
0 votes Thank Flag Link Wed Jun 2, 2010
Don Tepper, Real Estate Pro in Burke, VA
MVP'08
Contact
Search Advice
Ask our community a question
Email me when…

Learn more

Copyright © 2016 Trulia, Inc. All rights reserved.   |  
Have a question? Visit our Help Center to find the answer