Mortgage Rates

How Does Mortgage Interest Work?





Everything you need to know about how mortgage interest rates work before you get a home loan!

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0:25 What is an interest rate anyway?
1:05 APR vs interest rate
2:05 Fixed vs ARM
2:58 The interest rate doesn’t tell you this
3:48 What determines your rate?
6:29 Points vs credits
8:06 How to calculate interest payments
8:36 How your payment is made
8:49 How your interest payment changes
9:40 30 yr vs 15 yr loan
11:12 Should you pay points?

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Hey, my name is Kyle and I’m a Loan Advisor serving Tennessee, Florida, and Ohio. I help you get a crystal-clear home loan so you can win the house you love.

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5 comments

  1. Timestamps!

    0:25 What is an interest rate anyway?
    1:05 APR vs interest rate
    2:05 Fixed vs ARM
    2:58 The interest rate doesn't tell you this
    3:48 What determines your rate?
    6:29 Points vs credits
    8:06 How to calculate interest payments
    8:36 How your payment is made
    8:49 How your interest payment changes
    9:40 30 yr vs 15 yr loan
    11:12 Should you pay points?

    Reply
  2. Your videos are so helpful. I’m 25 and hoping to to buy a house by the time I’m 30 so learning the ins and outs of what to expect is really helpful for a Type A person like me. Unfortunately, I live in CA where a house costs at least $500k-$600k and on a $55k salary that’s somewhat discouraging. But these videos kind of motivate me to at least try to make my way to a 20% down payment. Between you and Dave Ramsey I’m sure I can figure something out. Thanks for the content!

    Reply
  3. I want to buy so badly, but hearing numbers like that is so depressing. You could buy another house with what you pay interest during the left of the loan. My alternative would be to buy a house cash, but I would be saving for a lifetime for it. Can you do a video on the difference between purchasing a condo and a single family home if there are differences? I’ve been leaning towards buying a condo or a townhouse.

    Reply
  4. Can you please explain how a lower interest rate could potentially cost more than a loan with a higher interest ratwover time? The fees are one time fees, correct?So I'm not sure how that can impact the loan for the long term. Thanks

    Reply
  5. How would one "buy out" an interest rate?

    Reply

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