Monday, July 16, 2012

Mark Zuckerberg takes a $6 million Home Loan


Mark Zuckerberg Facebook CEO Is Facebook CEO Mark Zuckerberg getting mad?

The answer is NO, the cost of his mortgage of about $6 million dollar is FREE, the interest he has to pay on the loan is barely 1.05% which is below the current inflation rate of 2 percent.
He took this mortgage because the interest is so low that he can invest the cash into higher return investments.

The mortgage will last 30 years and is adjustable which means that the bank can raise the interest if it wants, for comparison the average 30 year fixed rate is about 3.56%.
His Bank the "First Republic" figured he is a good customer and gave him this super low rate, indeed he is the 40th richest man in this world after all.

According to an employee of the bank, their credit products are priced based on the strength of the entire client relationship and it is like this with all their clients.


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