Mortgage Calculator
This mortgage calculator can help you learn more about your mortgage costs and how they will be paid. Getting a mortgage for purchasing a home is one of the most important financial commitments you will ever make in your life. A good insight into mortgage costs is essential to prevent unpleasant surprises in the future. Use the calculator below to see the peaks of your monthly mortgage payments and the total costs for various loan scenarios along with their differences. This will help you make a more informed decision before getting a mortgage loan. The calculator can be used for amortized and interest only mortgages. For amortized mortgages, an amortization table will be created, as well. Mortgage payment calculations can be based upon the home purchase price or the loan amount. When you change any of the values, the mortgage payment tables are updated on the spot. The used calculator terms and definitions are explained below on this page.
Definitions and terms used in the mortgage calculator
| Calculator Type | Choose 'Purchase Price based' when you want to calculate the mortgage tables based upon the purchase price of your home. When you select this calculation type, you must enter the Down Payment percentage, as well. The loan amount and the down payment amount will be calculated automatically too. The loan amount will be calculated as the purchase price minus the down payment you make initially. Select 'Loan Amount based' when you know exactly how much you want to borrow from the bank without taking a down payment into account. |
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| Purchase Price | The purchase price of your home. |
| Loan Amount | The amount of money you want to lend from a bank or another financial institution to purchase a new home. This represents the mortgage loan. |
| Down Payment | The amount of money you want to pay upfront when the mortgage starts. You have to fill it in as a percentage of the Purchase Price. When you have a Down Payment percentage smaller than 20%, you will probably have to pay PMI (Private Mortgage Insurance). |
| Mortgage Type | Choose 'Amortization' when you want to pay off your mortgage loan. Select 'Interest Only' when you only want to pay interest without paying off the loan. |
| Loan Term | The time duration for paying the mortgage. An amortized mortgage loan is paid off at the end of the loan term, while an interest only mortgage is not paid off at all. |
| Interest Rate | The annual interest rate for the mortgage loan. The interest you have to pay will be based upon the loan amount, not on the purchase price of your home. |
| Mortgage Table | Here you can choose how the mortgage payment table should be generated. Select 'Monthly' when you want see the monthly payment for each month during the loan period. Select 'Monthly average per year' to get an annual payment table in which the average monthly payments are shown for each year of the loan term. Choose 'Annually' to get an annual mortgage payment table containing the overall amounts for the full year. This applies to amortized mortgages only. |