When it comes to mortgage rates, there are many variables. Here are some handy tools for your to use when you need to perform mortgage rate-based calculations!
Difficulty: Moderately Easy
Things You'll Need
- The amount of your mortgage
Mortgage rates have several moving parts: amount financed, interest rate, and loan term. All of this information together will be calculated to determine your monthly payment.
How much does the home you want to purchase cost? Subtract your down payment (if any) from the purchase price and this is the amount you want to finance.
Take the amount you want to finance and plug it into the handy mortgage calculator provided in the link below.
How long do you want to finance your home for? You'll want to plug this information into the calculator as well.
Research interest rates in your area. This can easily be done through looking at the Real Estate section of your local newspaper or through sites such as Bankrate.com.
Plug in the appropriate interest rate into the calculator.
You've just calculated your mortgage! Try changing some of the variables to see how it impacts your monthly payment and time required to pay-off your mortgage. Interesting information!