Using a Mortgage Loan Calculator

calculate the value of Charlotte Homes with this mortgage calculatorSo you are interested in a Charlotte home for sale, and ready to begin house hunting.  But before you apply for a mortgage loan, it’s important to determine the potential cost of your home. One feature of our website is a mortgage calculator that allows homebuyers to calculate the cost of a mortgage so you can be more prepared before applying for a mortgage.

Our loan calculator enables prospective homebuyers to get an approximation of their monthly mortgage payments simply by entering basic data about your upcoming Charlotte home purchase. You can access our mortgage loan calculator to find out how much you can pay for Charlotte Homes.

But before beginning, you will need to know the following items:

Principal: You will need to know your principal, or the amount of money you need to borrow to purchase your home or apartment. For example, if you want to buy a $400,000 home and you have $50,000 for a down payment, the principle amount is $350,000.

Amortization: Determine how many years your loan will be amortized. (Amortization refers to the process by which you pay your loan principal. For each mortgage payment, a part of your payment applies to your principal and another portion of your payment applies to paying the interest on the loan.) Typically, a home mortgage is amortized over a 30 year period.

Interest Rate: Determine the interest rate on your mortgage. This will vary depending on the loan you are applying for as well as your credit score. There are many websites that will provide you with the latest interest rate, so a Google search for “30 year fixed mortgage” will give you a general estimate.

Once this information has been entered into the mortgage loan calculator, you will get an estimated monthly mortgage payment.  Note that this number is only a calculation for the mortgage payment.  It does not include additional costs including insurance, taxes, and fees associated with purchasing your home.

Keep in mind that your monthly payment should not exceed 31% of your monthly income. This is a good benchmark to ensure that you are able to make regular payments.

While a mortgage loan calculator is helpful in determining how much you can afford when buying Charlotte Homes, it’s also a good idea to speak with a real estate professional before finalizing your loan agreement. If you would like to speak with one of the professionals on our team, you can contact us at 704-889-5600, or you can email us at info@showcaserealty.net

Showcase Realty

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Charlotte Homes: How to Save Money by Researching your Mortgage Loan? - May 24, 2010 Reply

[…] you apply for a mortgage loan, it’s important to determine the potential cost of Charlotte homes. One feature of our website is a mortgage calculator that allows homebuyers to calculate the cost of …so you can be more prepared before applying for a […]

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