A
Anonymous
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From: Anonymous
If I take out a $400,000 loan for 2 properties. 7.5 % for 10 years, total interest payable is $300,000 after the 10 years. After the 10 years of paying the interest I then need to then pay of the principle ($400,000. Is that done in a lump sum or how is it worked out?
But if I take out a principle and interest loan ($400,000) 10 years I only end up paying $169,768 in interest and the principle has been payed of over the term.
Is it not better to pay it out on a P & I and avoid paying all that interest?
If I take out a $400,000 loan for 2 properties. 7.5 % for 10 years, total interest payable is $300,000 after the 10 years. After the 10 years of paying the interest I then need to then pay of the principle ($400,000. Is that done in a lump sum or how is it worked out?
But if I take out a principle and interest loan ($400,000) 10 years I only end up paying $169,768 in interest and the principle has been payed of over the term.
Is it not better to pay it out on a P & I and avoid paying all that interest?
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