Christopher Dodd and Kent Conrad, Democratic presidential contender Barack Obama got a sweeter than normal deal on his mortgage: If VP is out for Chris Dodd for this, then shouldn’t president be out for Obama?
The freshman Democratic senator received a discount. He locked in an interest rate of 5.625 percent on the 30-year fixed-rate mortgage, below the average for such loans at the time in Chicago. The loan was unusually large, known in banker lingo as a “super super jumbo.” Obama paid no origination fee or discount points, as some consumers do to reduce their interest rates.
Compared with the average terms offered at the time in Chicago, Obama’s rate could have saved him more than $300 per month.
Since 1990, Northern Trust employees have donated more than $739,000 to federal campaigns, including $71,000 to Obama, according to the Center for Responsive Politics.
1 response so far ↓
Grasping at Straws // July 6, 2008 at 11:29 pm
Let’s see…
In Obama’s case he’s a U.S. senator with household income of nearly $500,000 in 2005, a seven-figure book deal, cash on hand from a profitable real estate transaction and low debt received approximately a 30-basis-point discount on his mortgage rate.
In Senator Dodd’s case, $270,000 annual income, over $1,000,000 in holdings, clearly, a steady job…and he’s offered a loan (one of three very similar quotes from three seperate financial institutions) that is a 40-basis-point discount on his mortgage rate.
Color me nonplused.
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