I have no idea how mortgage points work. If you buy points does it make your mortgage cheaper? Or do they help decrease the interest rate? Is it always beneficial to buy points off your mortgage? If someone could use it with this example that would be great! A house that is 85,000 with a 20% down payment over 15 years with a 3.5 interest rate. Also would not be including insurance and property taxes in monthly mortgage. What would be the difference in the monthly mortgage with points taken out vs no points taken out?
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