Daily News from New York, New York • 559

Sunday I 9 rt- 4-r far I 30gear By JOHN CUNNIFF higher today, but still only a fraction of 30 years. Why pay more? That presents the question: If the 30-year mortgage isnt going to be held for that entire time, why pay the higher rates that prevail on such mortgages? Why not take a lower-rate, 15-year mortgage instead? Typically, two solid reasons are given in answer: 1. The 15-year mortgage, though offered at a lower interest rate, still requires bigger monthly payments in order to more quickly amortize the loan. 2. With a 30-year loan you have the option of making advance or extra payments to repay faster.

You pay extra interest for this option, but you are not compelled to make advance payments; it is your choice. According to the National Association of Realtors, the monthly principal and interest payment on a $65,900 mortgage for 30 years at 9 would be about $530. On a 15-year mortgage at 8.75 the payments would be $659. What happens after that should affect any borrower's decision. AP Business Analyst NEW YORK (AP) Most people don't like to commit themselves to any project for 30 years ahead, the big exceptions being marriages and home mortgages, both of which seem to have eager acceptance.

But in the case of mortgages, at least, there is a shorter alternative, that being the 15-year mortgage. It is a real alternative: With it, a homeowner can obtain a lower interest rate and pay for the house in half the time. Nevertheless, many homeowners prefer the longer term and higher rate for several good reasons, one of them being that home-mortgage interest constitutes one of the biggest deductions on federal income tax returns. In so doing, however, some homeowners might penalize themselves. For one thing, the average home mortgage isn't held for 30 years.

It varies widely; at one time the average was only seven years. It is much nrtfHEN IT COMES TO new home designs, one luxury community in the Poconos may have a misleading name, mused a spokesman for the develop 1x3 nr 8.75 is cut 20.3. After 10 years, the principal owed on the 30-year loan is reduced by 10.6. But on SEE LONG, SHORT Page 2 Mortgage rise Mortgages interest rates for New York's co-ops and condos rose significantly last month. Leading the surge are the 30-year and 15-year fixed, which rose from 10.75 to 11.25 and 11.125 respectively.

The popular one-and five-year adjustable rose from 7.375 and 9.75 to 7.5 and 10.25, while the six-month, five-year and three-year adjusta-bles went from 8.87 to 9.25. Record finance One of the largest real estate financing ever recorded $545 million has been secured for the constructing the Worldwide Plaza on the site of the old Madison Square Garden. The loan, which was arranged by Sonnenblick-Goldman was obtained for a partnership that includes Japanese and American investors, lead by the Zeckendorf Co. Condo sales up Traffic in condo sales is heavy for spring, reports the Glick Organization, which registered a jump of 20 ahead of the same period last year for Manhattan luxury, hi-rise units. The Glick Organization owns two luxury buildings: The Promenade on East 76th St and The Horizon on East 37th.

Hospitality adds Hospitality Services, a New York headquartered national real estate consulting and management firm, is expanding its operation to include hotel ownersoperators and investors of transient lodging facilities. The 1st 'condop' Citing lower purchase prices and down payments, The Savannah, Manhattan's first "condop" a condoco-op merge on the Upper West Side, is boasting an 85 sold out rate. Prices for the 142-unit, 18-story luxury residence start from $260,000 to $400,000. AS41.5M sale Two buildings in the Mountain Heights Center complex in Berkeley, N.J., were sold recently by Vantage Companies for $41.5 million. Cushman Wakefield of New Jersey was the broker.

After five years, the principal owed on the 30-year, 9 loan is reduced by 4.1. In the same period, the principal on a 15-year mortgage at tures Renaissance town-houses plus exclusive single-family homes on sites of a half acre up to two acres, proudly presents the new Versailles, he said. ment "At Whispering Glen, our new home design are worth shouting about" he think it's that good." The community, which fea "It's a French-Designed three-bedroom, two-bath luxury home," said the spokesman. "It features two fireplaces, Jacuzzi, wall-to-wall carpeting, a complete GE appliance package, European oak cabinetry, thermopane windows, and cable TV. And it's all priced from $99,000." The setting for the Versailles is one of the heavily wooded homes ites in the Po-cono Mountain retreat designed for the quality-oriented buyer.

Facilities include a swimming pool, tennis courts, paved roads, central water service and an eleven-acre nature park. Other homes in this minimum one-half acre community start at $69,900. "Whispering Glen is located within 10 minutes of a major shopping center, houses of worship, the ski slopes of Camelback, the crystal waters of 170-acre Tobyhanna Lake with its 650-foot long white sandy beach, boat docks, picnic groves one of the finest locations of any community in all of the Poconos," stated the spokesman. Call for an appointment and receive your $30 cash drive-up allowance for your time and travel to Whispering Glen. There is no obligation.

Call toll-free: 1-800-233-0355 or collect: 1-717-894-4000 to make a reservation. SET AMID THE TREES: A sprawling countiy home by Whispering Glen that says a lot.