Use Our Simple Mortgage Calculator to Estimate Your Monthly Payments
It can be difficult to seek out help when you’re looking to find a new loan, or refinance your current one, under the best possible terms. Many consumers feel worried that any expert they find to help them out will only have selfish interests in mind. Other consumers simply feel self-conscious when they think about admitting they don’t know everything there is to know about getting the best possible scenario. These are legitimate feelings, and rather than berate you about how there really are some good, warm, welcoming mortgage experts out there who hold your best interests in mind and not just their bottom line, we’d rather empower you with the tools you need to work out the details of your optimal mortgage for yourself.
Or rather, we’d rather empower you with the tool you need to take charge of your home’s loan- a simple mortgage calculator.
Here’s how you use one:
First, put in the size of your desired loan. If you’re looking to borrow $300,000 then put in $300,000. If you’re wanting to refinance your existing loan and you have $140,000 left to pay off then put in $140,000. The total sum of the loan is important when it comes to how much you will end up paying the bank but it’s far from the only factor you need to consider.
Second, input how long you’re planning to pay your mortgage off. Most people sign up for 30-year terms, which means they set up their monthly payments so they end up paying off the entire loan over the course of 30 years. If you’re signing up for a mortgage for the first time input the length of the loan and if you’re refinancing your mortgage input how much longer you have on the life of your loan, and any changes in the length of your loan produced by the refinancing terms you’re considering.
Third, put in your mortgage’s interest rate. Combined with the length of the proposed loan, your home mortgage’s interest rate is the biggest factor determining just how much you pay on your loan, both in the short term and in the long term. Inputting these two factors alone will give you a clear picture of how much your loan’s monthly minimum is going to be and how much you’re going to ultimately pay over the life of your note. Spending a little time playing around with different potential loan lengths and interest rates is the best possible way to understand how these two factors impact the price of your mortgage.
- Finally, you also need to input the values of your projected homeowner’s insurance and of your local property tax rates. These may not make as big an impact as interest rates and loan lengths but they still represent important factors you NEED to take into consideration if you’re going to arrive at a truly accurate picture of what your home loan is going to cost you.
This simple mortgage calculator makes it so easy to work through the impact of all of these changing values you won’t need to seek an expert or feel intimidated at the thought of finally figuring out how your mortgage really works.
Here at the Home Mortgage Calculator, we have assembled useful information for your reference, as well as tools and articles to help you understand the process of taking out a loan. Our tips and advice can provide a framework for going through this process and while helping you keep a firm grip on the process.