monthly payments - purchase price under 9k?

[Misty89]

I hoping someone would be willing to share what their monthly payments are -
I am trying figure out some ideas, but i am getting confused with intrest and if there are taxes invloved?
Looking at purchase price of under 9k, ( resale, 120 pts or less)
please keep the MF's seperate, i would pay them in a chunk at the end of the year.
normal about (10%) down.
thank you

 

[POS]

Hello.

Your answer will depend on the length of the loan and the interest rate you get.

For this example, assuming a 10% interest (extremely high by today's terms but Disney is charging this and it is a nice round number, understand you are looking at resales but using 10%) and a 5 year loan.

If you pay 10% down on a $9,000 purchase you have $8,100 left. Your loan would be for $8,100 and there would be no taxes. (there are built in taxes on your MF though).

A $8,100 loan at 10% for 5 years paying the minimum payment would be $172.10 per month.

I personally did not finance either of my purchases so I don't have a number to give you for my situation.

Hope this helps.

 

[Sandisw]

Here is a loan calculator that you can choose to plug in the financed balance, the length of the loan and the interest rate. Right now, if you finance through the resale brokers, I believe I have read the rate runs at least 10.99% (that is what TSS is advertising).

If you go through a Home Equity Line of Credit, you can probably do much better than that.

http://www.bretwhissel.net/amortization/amortize.html

Good luck!!!!

 

[nunzia]

I am financing my add on from Disney, so there's no closing costs, but here's what my deal looks like. 125 points at 107 per point = $13,375, - $5,000 down = $8375 financed, 5 years at 10.45 %..payments are about 175 month..(Yes, I know this is horird interest and a bad deal and I will pay it off in less than 2 years.)

 

[Slakk]

Here is a loan calculator that you can choose to plug in the financed balance, the length of the loan and the interest rate. Right now, if you finance through the resale brokers, I believe I have read the rate runs at least 10.99% (that is what TSS is advertising).

If you go through a Home Equity Line of Credit, you can probably do much better than that.

http://www.bretwhissel.net/amortization/amortize.html

Good luck!!!!

Off topic a bit but how many people can get a HELOC now and when you compare you have to look at the life of the loan too, a 30 yr loan at 6% can easily be way more than a 10 year 10%.

 

[Brian Noble]

a 30 yr loan at 6% can easily be way more than a 10 year 10%.

Unless there is a prepayment penalty, no one says you can't pay off that 6% loan in 10 years (or less), and then it's a clear win.

 

[Sandisw]

Off topic a bit but how many people can get a HELOC now and when you compare you have to look at the life of the loan too, a 30 yr loan at 6% can easily be way more than a 10 year 10%.

You are right, HELOC may not be as easy to get for people today, but the rates are much lower than what you will get going through Disney or the companies that the resale brokers mention. If that is an option and available, it would save in interest costs.

As far as length of loan, any loan, unless there is a prepayment penalty, can be payed off early but that definitely needs to be considered when taking out any sort of financing with DVC. Most of the people on here that discuss that they took out a loan indicate that they do not intend to keep it for the entire 10 years.