Example of A 80/20 Mortgage Loan
It is important to understand that the 80/20 Mortgage Loan can be used for purchase and refinance transactions. Please see the article on 80/20 loans on the left hand side of this page. That means that Minnesota Mortgage Rates can do 100% financing on both purchase and refinance transactions. These loans are so popular because we do a 80% first mortgage and a second for 20% and there is no PMI (Principal Mortgage Insurance). Rates depend on credit for this type of loan we have the ability to do an 80/20 loan down to a 560 credit score.
Appraised Value or Purchase Price = $280,000.00
1st Mortgage = $224,000.00
2nd Mortgage = $56,000.00
Total Loan = $280,000.00 or 100 % Financing
Closing cost for both a refinance and a purchase can be financed into this loan making this loan easy with no out of pocket costs. |