How much will my monthly mortgage payment be?
That’s a common question asked by people who want to buy a home or refinance a mortgage. Fortunately, the answer can be easily found by using an online mortgage payment calculator. This type of calculator helps you determine the amount of your monthly mortgage payment based on the size of your mortgage, the interest rate on your mortgage and the term of your mortgage.
Calculator determines mortgage paymentA mortgage payment calculator is useful in a wide variety of situations. You can use this type of mortgage calculator to figure out how much your payment will be if you buy a home, refinance your mortgage, take out a second mortgage or need to discuss a loan modification with your lender. You can also use this type of calculator for other types of loans, such as an auto loan or personal loan. Regardless of the situation, the mortgage payment calculator will give you helpful information about how much your mortgage or loan payment will be.
How a mortgage payment calculator worksTo use a mortgage payment calculator, you’ll need to know a few details about the proposed mortgage.
First, you’ll need to know whether the interest rate will be fixed or adjustable, and you’ll need to enter that into the payment calculator. Remember that a fixed rate means your payment won’t change while an adjustable rate means your payment could change after you get your loan.
Next, you’ll need to know your loan amount, and you’ll need to enter that into the payment calculator. Remember not to include your down payment in the loan amount. For example, if you want to buy a $300,000 house and you have a $15,000 downpayment, your loan amount will be $285,000.
Finally, you’ll need to know the interest rate and term of your mortgage, and you’ll need to enter that into the payment calculator. Most mortgages have terms of 15 or 30 years, but some have a term of 20 or 25 years. If you’re not sure about current interest rates, visit our Mortgage Rates page.
Payment might not include taxes, insurance (PITI)After you enter the information into the mortgage payment calculator, the calculator will display your mortgage payment. The payment calculated will include principal and interest, which may be referred to as “PI.”
The payment calculator’s result might not include private mortgage insurance (PMI), which you may have to pay if your down payment is less than 20% of the purchase price of your home or the equity in your home is less than 20% of your home’s current value.
The mortgage payment that’s calculated by the mortgage payment calculator payment calculator also will not include property taxes or insurance. A payment that includes principal, interest, taxes and insurance may be referred to as “PITI”. Ask your lender for details.