NSR, how do you come up with paying more if it drop 20% and interest increase 1%. Here’s the # I came up with:
$800k @ 6% w/20% down = $3837.12/month (PI)
$640k @ 7% w/20% down = $3406.35/month (PI)
$640k @ 8% w/20% down = $3756.87/month (PI)
$640k @ 8.23% w/ 20% down = $3839.29/month (PI)
So rates would have to go up 2.23% from 6%, which is a 37% jump in order for your payment to be higher when waiting compare to not waiting. Then there’s the $32k difference in down payment that either you can invest and make more $ or put that into the down payment. If you put that into the down payment:
$640k @ 9% w/$160k down = $3862.19/month (PI)
Which means rates would have to jump 50% from 6% in order for it to be more economical to buy now.
