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pioneerbasketball
Arkansas Fan
Team Bunchie
Member since Oct 2005
101235 posts

Is it always best to put 20% down on a house to avoid PMI?
I was wanting to put 20% down for a house.

Talked to my mortgage person and they ran the numbers for me and said it wouldn't be worth it since my pmi would be about $42/month.

Conventional loan @2.875%

I'm 22 years old and I have no idea about this stuff. First time buying a house.
This post was edited on 11/18 at 4:12 pm


TigerintheNO
LSU Fan
New Orleans
Member since Jan 2004
34799 posts
 Online 

re: Is it always best to put 20% down on a house to avoid PMI?
The question is $500 a year worth it to you?


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181
CE Tiger
LSU Fan
Metairie
Member since Jan 2008
39501 posts

re: Is it always best to put 20% down on a house to avoid PMI?
No.
Rather have cash on hand and affording to put things in the house vs paying a little more on a house note


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264
jimbeam
USA Fan
University of LSU
Member since Oct 2011
66741 posts
 Online 

re: Is it always best to put 20% down on a house to avoid PMI?
I put down 10% and pay $25 a month for PMI. No brainer

Not sure why I’m getting downvoted. Certainly we would agree my converted-cash did better in the market the last half year versus avoiding a $25/month fee and a 3.5% interest rate.
This post was edited on 11/19 at 8:45 am


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136
KamaCausey_LSU
Member since Apr 2013
7947 posts

re: Is it always best to put 20% down on a house to avoid PMI?
quote:

Talked to my mortgage person and they ran the numbers for me and said it wouldn't be worth it since my pmi would be about $42/month.

They're right considering current market conditions.

Also, congrats. Becoming a homeowner at 22 is no small feat.


Chasin The Tiger
LSU Fan
Lake Travis, TX
Member since Sep 2012
350 posts
 Online 

re: Is it always best to put 20% down on a house to avoid PMI?
I put 3.5% down, my pmi was $77 a month and my house sold for $80k above what I paid for it in 2 years. If you're in a hot market and with current interest rates it makes little sense to put 20% down.


PropofoLSU
LSU Fan
Irwin, Idaho
Member since Aug 2013
433 posts

re: Is it always best to put 20% down on a house to avoid PMI?
Lots of bad advice so far. Put ya 20% down.

For example, while the gentlemen above “made 80k” on his sale he is neglecting to take into account the amoritization of front loaded interest he paid as his loan wasn’t 2.8%
This post was edited on 11/18 at 5:09 pm


Dawgfanman
LSU Fan
Member since Jun 2015
11603 posts
 Online 

re: Is it always best to put 20% down on a house to avoid PMI?
If you have 20% to put down and will still have substantial savings/funds for emergencies and such left over, do it. If not, don’t.


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241
HailToTheChiz
Auburn Fan
Back in Auburn
Member since Aug 2010
37844 posts

re: Is it always best to put 20% down on a house to avoid PMI?
Enough for conventional loan and get the pmi to fall off based on loan to value


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00
Epic Cajun
New Orleans Pelicans Fan
Lafayette, LA
Member since Feb 2013
22558 posts
 Online 

re: Is it always best to put 20% down on a house to avoid PMI?
You were 7 years old when you signed up for this site?


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skewbs
Michigan State Fan
Houston
Member since Apr 2008
870 posts

re: Is it always best to put 20% down on a house to avoid PMI?
quote:

You were 7 years old when you signed up for this site?


Right! LOL. And this was back in the early days.

Something doesn’t add up here.


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70
ellesssuuu
Baton Rouge
Member since Mar 2016
1384 posts
 Online 

re: Is it always best to put 20% down on a house to avoid PMI?
As a person in the mortgage industry don’t put 20% down. Instead of monthly PMI, see if your mortgage person can run a one time single premium MI. It’s a one time charge and you never pay monthly MI.


go ta hell ole miss
New York Yankees Fan
Member since Jan 2007
8869 posts

re: Is it always best to put 20% down on a house to avoid PMI?
quote:

If you're in a hot market and with current interest rates it makes little sense to put 20% down.


Sounds like 2006-08!


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13
Fat Bastard
USA Fan
Member since Mar 2009
51645 posts

re: Is it always best to put 20% down on a house to avoid PMI?
WTF????????

we have found many posters here who signed up when they were like 15 or 16 here. but you were 7?

you literally cannot make this shite up.





Chasin The Tiger
LSU Fan
Lake Travis, TX
Member since Sep 2012
350 posts
 Online 

re: Is it always best to put 20% down on a house to avoid PMI?
Ok and if I rented during that same time period, I would've spent 80k with no return.


meansonny
Georgia Fan
ATL
Member since Sep 2012
13141 posts

re: Is it always best to put 20% down on a house to avoid PMI?
How long do you plan on staying in the home?

If this is your dream home (at 22 years old?), put the 20% down and get the best mortgage possible and enjoy the best deal for a long time.

If you are like most Americans who dont keep a loan longer than 5 to 10 years, it doesnt matter so much. Do what makes you feel best about yourself.


TigerintheNO
LSU Fan
New Orleans
Member since Jan 2004
34799 posts
 Online 

re: Is it always best to put 20% down on a house to avoid PMI?
quote:

WTF????????

we have found many posters here who signed up when they were like 15 or 16 here. but you were 7?

you literally cannot make this shite up.




I think this might be the account of the guy who was cheating on his pregnant wife and got caught. Whatever happened he deleted over 70K post and rumors where is paid a teenager to take over his account.


jimbeam
USA Fan
University of LSU
Member since Oct 2011
66741 posts
 Online 

re: Is it always best to put 20% down on a house to avoid PMI?
Wait wtf


GREENHEAD22
LSU Fan
Member since Nov 2009
14615 posts

re: Is it always best to put 20% down on a house to avoid PMI?
Yea no shit, how did I miss this?


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SDVTiger
Hawaii Fan
Cabo San Lucas
Member since Nov 2011
48474 posts

re: Is it always best to put 20% down on a house to avoid PMI?
Put 5% down Conv

Keep the extra cash for an emergencies


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