Businessweek Archives

How Fast Do Mortgage Savings Mount Up?


Readers Report

HOW FAST DO MORTGAGE SAVINGS MOUNT UP?

I agree with "Is a short-term mortgage better in the long run?" (Personal Business, Apr. 13). But the figures are off: If I save $188 a month and get 10% for 15 years, I will have $78,570. Quite a difference from $98,900.

Elliott Adler

Boca Raton, Fla.

Editor's note: The example failed to note that the higher figure includes the extra savings and investment growth generated because tax deductions are higher on a 30-year mortgage.


We Almost Lost the Nasdaq
LIMITED-TIME OFFER SUBSCRIBE NOW

(enter your email)
(enter up to 5 email addresses, separated by commas)

Max 250 characters

 
blog comments powered by Disqus