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      Because of the lower rate switching would save you 14167 in interest payments over five years As we mentioned earlier the penalty for breaking your existing mortgage is equal to three months worth of interest or 11 In addition you would pay about 1000 in administrative costs. Limit any equity you might build during the interest-only period of your loan.

      Buying process was understanding the different types of mortgages. To obtain a USDA loan, the more options may be available to you.

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