By: Stephanie Nando Lopez
Home buying project By: Stephanie Nando Lopez Career information Occupation: Pediatric Psychiatrist
Starting Annual Salary: $205,794 Starting Monthly Salary: 205,794/12= $17,149.50 28% of Monthly Income: 4,801.86*.28= $4,801.86 Max Mortage Max Purchase Price Information from salary.com (http://swz.salary.com/SalaryWizard/Pediatric- Psychiatrist-Salary-Details Malibu-CA.aspx) 30 yr. / 3.825% rate 15 yr. / 3.001% rate 4,801[( /12)^360 -1] /(.03825/12)/( /12)^360 =$1,027,395.91 4,801.56[( /12)^180-1] /(.03001/12)/( /12)^180 =$695,287.18 1,027,395.91/.85 =$1,208,701.07 695,287.18/.85 =$817,984.92 HOME Information 29500 Heathercliff Rd. Spc 68 Malibu, CA 90625
I chose this home because its on the beach, and its so pretty. Its close enough to my dream home. Information from zillow.com(http://www.zillow.com/homes/29500- Heathercliff-Rd-Spc-68-malibu,-ca_rb/) Home information Purchase Price: $799,000
15% Down Payment: .15x799,000=$119,850 Closing Costs: 119,850 +( .03x799,000)= $143,820 PMI costs: .0075x(3,174.22x12)= $285.68 Home Insurance (Annual): .003x799,000= $2,397 Property Tax: .0125x799,000-2,397= $7,590.50 Loan Information 30 Year Loan: Rate: .03825
Monthly Mortgage Pymt: $3,174.22 Total including dp. over 30 yrs: 3,174.22x ,850= $1,262,569.20 Total Interest over 30 yrs: 1,262, ,000= $463,569.20 Majority of pymt goes to principalv not interest at: Month 146 Stop paying PMI at: .80x799,000= $639,200 = month 38 If sold home after 7 yrs, Id owe $582, month 84 The total monthly home payment goes really well with my monthly salary of$17,149.50 Information from: Loan Information 15 Year Loan Rate: .03001
Monthly Mortgage Pymt: $4,690.41 Total including dp. over 30 yrs: 4,690.41x ,850= $964,123.80 TotalInterest over 30 yrs: 964, ,000= $165,123.80 Majority of pymt. goes to principal not interest at: the first month! Stop paying PMI at: .80x799,000= $639,200 = month 14 If sold after 7 yrs. Id owe: $399, month 84 This loan also goes well with my monthly and yearly salary. Information from: Loan Information 30 Year + 200 Rate: .03825
Monthly Mortgage Pymt: $3,174.22 Total including dp. over 30 yrs: 3,174.22x360= $1,072, ,850 = $1,192,736.36 Total interest over 30 yrs: $1,192, $799,000 = $393,736.36 Majority of pymt goes to principal not interest at: Month 144 Stop paying PMI at: .80x799,000= $639,200 = month 32 If sold after 7 yrs, Id owe: $565, month 84 This loan also goes well with my monthly and yearly salary. Information from: Renting vs. Buying Rental #1 Rental #2 Rental #3
12554 Yerba Buena Rd. Malibu, CA 90265 3 beds ~ 2 baths ~ 2,000 sqft $4,500/mo 25119 Malibu Rd. Malibu, CA 90625 5 beds ~ 3.75 baths ~ 2,548 sqft $3,400/mo 28711 Pacific Coast Hwy Apt 22 2 beds ~ 2 baths ~ 1,007 sqft $3,500/mo Yearly: 4,500*12= 54,000 3 year cost: 162,000 Yearly: 3,400*12= 40,800 3 year cost: 122,400 Yearly: 3,500*12= 42,000 3 year cost: 126,000 Mean: 4, , ,500 = 11,400 / 3 = 3,800 Information from: Renting PROS: Easier to move Not responsible for repairs/maintenance
CONS: Cant build equity Monthly pymt canincrease Cant receive taxbenefits Cant remodel with outowners approval buying PROS: You can build equity You have advantage of tax breaks
Payments will be stable You have freedom toremodel and make theplace your own You can use your homeas an investment CONS: Pay for your ownmaintenance Must pay property tax Home could lose value Homeowners Insuranceis mandatory if you havea mortgage Reflection I honestly learned a lot through out this project. I had no idea what homebuying was about up until this math course. I learned how to calculate amax mortgage payment size and a max purchase price based on income.Basically I learned how to calculate how much house I can afford. My feelings about ownership have changed a bit. Not in a bad way though.I feel more secure about when the time comes. I will know what to do, whatto calculate, look for, and watch out for. Im very thankful I got to learnabout the home buying process!