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Originally Posted by uproared
Ok...
Property Value: $250,000
Down Payment: $25,000
Loan Amount: $225,000
25-Year Mortgage Rate: 7.85%
Loan Term: 25 Years
Monthly repayments would be $1,714.29, which would require rental income of $428.50. Now, I'm not sure what rental values are like in Canada, but there is no way you could rent out a $250,000 property for $428.50 per week in Australia.
Extending the loan term past 25-years will not have a significant effect on the repayments.
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$250,000 - $50,000(20% down payment) = $200,000(loan amount). 200k @ 6% for 30 years = 1,199/month
interest is still under 6% so itd be even less(about 5.81%).