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Personal Finances / Buying or Selling a Home


Subject:  Re: Refinancing without paying points? Date:  4/20/2001  10:01 AM
Author:  LuluB Number:  19393 of 128887

That means that if you pay $1,000 in points, you will be eliminating right up front about $10,000 of interest payments over your loan.
B) Every cash-dollar paid by the lender at closing (whether you're aware of it or not), ADDS TEN CASH-DOLLARS that you will pay in interest over the course of your loan.

I have a question here. If I choose to pay less dollars at the time of closing (due to points), could I make up for what I did not pay if I choose to pay more principal on the house over time, above and beyond what my mortgage is every month. If I were to sock an extra $100 per month and apply it to principal, I would make up for that $10,000 of interest payments? Thanks!
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