Better Information = Better Decisions
With that said, here’s a side by side projection we did for a client who wanted to see the pros and cons of staying in their primary home, vs downsizing.
The model revealed something very interesting.
If they were to downsize somewhat, from a 1.8M home to a 1.6M home, it doesn’t make sense for them (similar monthly payments, .lower gross profit in 10 yrs, and more capital required).
However, if they downsize into a 1.1M home, it starts to make a lot more sense, including MORE gross profit for them if / when they were to sell in 10yrs….surprising.
Here’s what these models give you::
- Your projected monthly mortgage payment: Get a clear picture of your mortgage payment each month for 15 yrs.
- Potential profit in 10 years: See how the market value of your home might grow over time and gross profit if you were to sell at any given time over the next 15 yrs..
- Market value vs. mortgage amount: Understand your potential equity position and LTV.
There’s a lot more information in the underlying model that can also be brought forth for more insights as well.
