Condos cost between $159,000 to $250,000 in State of Massachusetts with townhouse, duplex or condos.
The down payment is usually what the bank will require. If there is more risk involved ie. first time borrower then they may require more of a down payment. The 20% is based on ave. cost of a $250,000 condo x 20% = $50,000. Most banks will not loan more than 80% of the amount of the condo cost ie. 100% condo cost - 80% amount of loan = 20% down payment required. So, for example if the cost were more; say $300,000 for the condo, you would need 20% or $60,000 cash to put down before they would allow you to borrow the 80% remaining balance or $240,000 amount of mortgage over 30 years.
Remember; every month you would have to pay back interest plus principal for 12 times a year x 30 years or 360 times before it is all paid off. For a loan of $240,000 that could be a total pay back of $1,400 per month x 360 months = $505,000 over the 30 years ! That is more than double what you borrowed ! It is very difficult to afford this in Massachusetts (even without taxes, ect.).
Be careful what you try to buy….
banks are very unscrupulous ! They do not care about people.
