Lenni Oh · September 2, 2026

Your down payment: one choice, many ripples

Mortgage Market Update

Lenni Oh

Lenni Oh

Wednesday, September 2, 2026

Your down payment: one choice, many ripples

Hi there. This week I want to talk about something that happens before you even get the keys—and shapes your finances for years after.

National Mortgage Rates · August 27, 2026

30-Year Fixed

6.66%

FHA 30-Year

6.55%

VA 30-Year

6.38%

Rate trend

Source: Freddie Mac PMMS & Optimal Blue via FRED

Rates shown are national averages and are provided for informational purposes only. Actual rates vary based on credit profile, loan amount, and market conditions. Please contact us for a personalized rate quote.


Smart Money

Why your down payment size matters later

When you're buying a home, the size of your down payment feels urgent—but its impact doesn't stop on closing day. A larger down payment means a smaller loan, which affects your monthly payment, the total interest you'll pay over time, and whether you'll need mortgage insurance. It also builds instant equity and can qualify you for better loan terms. Even if you're already a homeowner, understanding how your down payment shaped your loan can help you make smarter decisions about refinancing or paying down your balance. The choices you make early on have a long tail.

I'm happy to walk through how your down payment is working for you right now.

Tip of the Week

Your mortgage interest may be tax-deductible if you itemize. Check with your tax professional to see if it benefits you.

Tips for Homeowners

Understanding Mortgage Points

1.

One mortgage point equals 1% of your loan amount. Paying points ("buying down the rate") reduces your interest rate — typically 0.25% per point, though this varies by lender and market.

2.

Calculate your break-even: divide the cost of the points by your monthly savings. If it takes 4 years to break even and you plan to stay 10 years, buying points makes sense.

3.

Points paid on a home purchase are generally tax-deductible in the year paid (if you itemize). Points on a refinance must be deducted over the life of the loan.

Have questions about how any of this affects your mortgage or home purchase? We're here to help — reach out to the Lenni Oh team any time and we'll walk you through your options.

Your Mortgage Advisor

L

Lenni Oh

Lenni Oh

lenni.oh@streethomelending.com

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