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Keeping a 3% mortgage: compare the whole moving budget

A low existing rate is valuable. Eric’s example shows why owners should also compare housing needs, other debt and sale proceeds before deciding whether a move is affordable.

By Eric Hamilton · Published October 6, 2026

Originally uploaded June 29, 2026 · 1:00 · Watch on YouTube

Written companion added October 6, 2026. Adapted from Eric’s video captions with source checks; not a word for word transcript. The recording retains its original date.

Understand the payment comparison

For a hypothetical $400,000, 30-year fixed loan, principal and interest are about $1,686 at 3% and $2,528 at 6.5%, a difference of $842 monthly. Taxes, insurance, mortgage insurance and association charges are additional. These are illustrations, not available quotes.

Account for every use of the equity

Start with estimated sale proceeds after mortgage payoff and selling costs. Then allocate cash among the next down payment, purchase costs, moving, debt payoff and reserves. The same equity cannot fund every goal at once.

Compare staying with moving

List the total monthly obligations and cash remaining under each choice. Paying off other debt from sale proceeds may change the comparison, but moving costs and a larger mortgage can offset that benefit. Accessing equity while staying can also involve borrowing, qualification and additional costs.

Does a higher mortgage rate automatically make moving wrong?

No. Compare the complete budget and the value of the move, while recognizing the cost of giving up the existing loan.

Sources and scope

Published June 29, 2026. The video’s consumer debt rate references are historical commentary, not current pricing.

  1. CFPB: Figure out how much you want to spend Accessed October 6, 2026

General education, not a loan quote, approval or an individual recommendation. Ask the appropriate professional about your situation.

KEEP LEARNING

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