Finance Choices
Mortgage Calculator
What is a Mortgage Calculator?
Until a few years ago the mortgage calculator was the sole remit of the major high-street banks, lending institutions and brokers. Consumers could estimate borrowing limits and repayments based on their income in general terms but had no real access to a detailed calculator. Getting all the options would involve actually talking to a mortgage lender or broker. This added up to much time and effort spent on meeting with lenders, talking to them on the phone or trawling through brochures and fact sheets.
Online Mortgage Calculators
Using a Mortgage Calculator can be very useful. By using a Mortgage Calculator you should be able to estimate how much you will be able to afford to spend on your chosen property.You may wish to use a Calculator to estimate this figure before you begin searching for your property. This means that when you are searching for your property you will know which ones are within your price range. If you do not use a Mortgage Calculator before you begin searching for you property you could find that you think that you have found the perfect property only to find it is out of your price range when you finally do use a Mortgage Calculator.
A Mortgage Calculator will usually give you a good estimation of your Mortgage repayments. It is possible to find a calculator that will even estimate how much the interest on your loan will cost you and this is well worth knowing.
When you decide to apply for a Mortgage it is exceptionally important that you will be able to afford your repayments. A Mortgage Calculator can give you a good idea as to whether you will be able to afford your loan.
When you use a Mortgage calculator you will be asked for the amount you wish to borrow, the term of your Mortgage and the interest rate you will be paying. A good Calculator will be able to tell you your total monthly Mortgage repayment, the and Interest amount you will pay separately.
Once you have used the Calculator to estimate how much your repayments will be, you need to work out whether you can afford them. In order to do this you may wish to write down all of your monthly bills and costs. Subtract your monthly bills and costs from the net income you receive each month and you will be left with your current disposable income. All you need to do then is work out if you can afford the Mortgage repayments, which the Calculator estimated, with the income you have left after you have paid everything else.
The Finance Choices Mortgage Calculator
Finance Choices provide you with 10 great free mortgage calculators: "Monthly payment calculator", "Additional payment calculator", "How much do I have to earn", "How much can I borrow", "Should I pay discount points", "How much will I save by refinancing my loan", "How much will my tax deduction be", "Bi-weekly mortgage calculator", "APR calculator", and "Interest only monthly payment calculator".
To start using our free mortgage calculators simply click here
You can also find out about the latest mortgage deals in the UK at our mortgages page
posted by Barbara Gordon at 4:27 PM
Mortgage Calculator
7 Comments:
This mortgage calculator script is pretty nice. I simply input all my details and it was up and running brilliantly! It really is that easy. Thanks guys.
I am a mortgage broker and realtor in Colorado. Mortgages are like opinions- everyones got one and they are all a little different. The biggest misperception in the public is how mortgages work (different programs, different investors etc. etc.).
Here are some basics that should hold true in most situations.
If you can afford the payment of a 30 year vs 15 year, go for the 15 year. You get a slightly better interest rate (.500 usually) but the payment is higher due to the shortened term. Your savings come in the long run due to that shortened term. Or just pay that amount extra on a 30 year fixed.
I would consider looking at an ARM if you are in a shorter term situation. That is what they are designed for and can be very beneficial depending on your situation and the market.
A couple of questions that you should look into-
First time homebuyer? Down payment? Length of residence? Arm vs fixed rate?, PMI vs 2nd mortgage?
I've written an Excel Add-in that "Calculates Payments". The user enters loan amount, interest rate, term of loan, payments per year. It you, or others out there, would like a copy, please say. (the programming code, however, is not available for viewing)
I am 3 months into two 30 year mortgages(to avoid PMI). The lousy thing about my second mortgage is that although the payments are based on a 30 year repayment schedule, there is a balloon payment due in 15 years that is 76% of the original amount. Unless I had played with the mortgage calculators here I would have never known that I could have a $0 balloon payment if I paid just $50 more per month. Even better, if I made double payments each month I could pay it off in just 5 years.
I have used them in the past to determine refinancing options and to determine if a new rate would be beneficial vs. my current rate. With interest rates on the rise again I have not been using the calculators because I know what my projected pay off date will be.
As with any mortgage calculator the bigest thing that you will need to consider is your tax and insurance amounts and if your are going to have them taken into an escrow acount or pay them anually yourself. I personally prefer the second method since there is no reason to allow a company already making money from my loan to also make money from money I could have in personal savings drawing interest. In short escrow is an absolute sham and if you have the budget sense to take the responsibility into your own hands you can earn a little from your money.
Anyway, the main point I was trying to make was that they are great if you know how much to factor in for additional property ownership costs not associated with repayment of the P&I portion of the loan.
I've used your mortgage calculator in my search for a home. I used it to determine what price range of home I was comfortable with. I plugged in the monthly payment I want and interest rate and it told me how much the total would be.
I think it was pretty useful.
mortgage calculators are great especialy great to play with if you ahve some extra dough you can put towards house payments to see how much u will save
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