Mortgage Calculator
Use our mortgage calculator tool below to get an estimate of what your payment options could be. We’ll help you confirm these numbers to create a full mortgage plan.
Quotes Are Good, But Real Numbers Are Better
Getting a general idea of your payment is easy and quick with the above mortgage calculator, but knowing the exact dollars and cents your mortgage will need every month takes a consultation with a mortgage expert. Let’s crunch the numbers and get you an even more accurate idea of what your mortgage can do for you.
How To Use Our Mortgage Calculator
Getting a quote for your monthly payments on a mortgage can be a great start to understanding the full scope of details you’ll need to consider for your home loan. Our calculator tool is simple and will walk you through the different details you’ll need to input in order to get an estimated monthly payment. To make sure you feel comfortable understanding what these figures mean, we’ve put together a clear guide of what each number and input above means and how it impacts your payment estimate.
Loan Amount
The "Loan Amount" is the backbone of your mortgage calculation. It refers to the total amount of money you intend to borrow from your lender to purchase your dream home. Your loan amount will generally be the price of the property minus whatever your down payment amount is. Enter the price of the home minus your down payment in the calculator. This figure directly influences your monthly payment; a higher loan amount leads to a higher monthly payment. Experiment with different down payment amounts to see how this decreases your loan amount and, subsequently, your monthly obligation. Remember, a substantial down payment can also help you avoid paying private mortgage insurance (PMI). To learn more about low down payment mortgage options, read about our FHA loan programs.
Principal Amount
The "Principal Amount" is the core part of your loan payment—the initial sum you borrowed before interest. Each mortgage payment you make typically covers a portion of this amount and a piece of the interest. The principal directly affects your monthly payments; paying more towards the principal reduces the interest you'll pay over the life of the loan and can shorten your loan term. Use this section to see how additional principal payments could save you money in the long run.
Interest Amount
"Interest Amount" represents the cost of borrowing the principal amount, expressed as a percentage of the loan. This is the price you pay on top of repaying the borrowed principal. The total interest you'll pay depends on the loan term and interest rate. Understanding this can help you evaluate the cost-effectiveness of different loan offers. Playing with this number by adjusting the interest rate or loan term will show you how significant the interest's impact is on your total payment over the years.
Loan Term
The "Loan Term" specifies the duration over which you will repay the loan, typically in years. Common terms are 15, 20, or 30 years. Shorter loan terms usually have higher monthly payments but significantly lower total interest costs. In contrast, longer terms offer lower monthly payments but result in higher interest costs over the life of the loan. Adjust this field to find a balance between monthly affordability and overall interest savings that works best for you.
Interest Rate
The "Interest Rate" is a critical factor in determining your monthly mortgage payment. It's the percentage charged on your loan amount annually. This rate can be fixed or variable. A lower interest rate means lower monthly payments and less paid in interest over the life of the loan. Inputting different rates here will show you how even a slight change can significantly affect your monthly budget and the total interest paid.
Property Tax
"Property Tax" is a local tax assessed on your property, usually based on the property's value. This amount can vary greatly depending on your location and affects your monthly mortgage payment if escrowed. Enter your estimated or known property tax amount here to see how it impacts your overall monthly payment. Remember, property taxes can change, so it’s wise to revisit this estimate regularly.
Homeowners Insurance
"Homeowners Insurance" is a necessity that protects your home and belongings from damage or theft. The cost of your policy is determined by the value of your home, the amount of coverage, and other factors. This insurance cost is often included in your monthly mortgage payment if escrowed. Adjusting this amount will help you understand its impact on your total monthly mortgage expense. Shop around to find the best insurance rates that offer adequate coverage.
Mortgage Insurance
"Mortgage Insurance" is required for most borrowers who make a down payment of less than 20% of the home's price. It protects the lender in case you default on your loan. This insurance can be a significant portion of your monthly payment, especially for FHA loans. Understanding how this insurance influences your payment can guide you in deciding how much down payment to make to possibly avoid this additional cost.
HOA Dues
"HOA Dues" are fees paid by homeowners who live in a community with a Homeowners Association. These dues cover the maintenance of common areas, and sometimes utilities or other services. While not directly part of your mortgage payment, they are an essential part of your housing costs. Inputting this amount helps you see the full picture of your monthly housing expenses. Keep in mind, these dues can increase, so factor in potential future hikes.
Each of these elements plays a pivotal role in shaping your monthly mortgage payment and the total cost of your loan. By understanding and adjusting these figures, you can tailor your mortgage estimates to better fit your financial situation and goals. To go from an estimate to a concrete loan plan, talk to Becky Watkins about your mortgage options.
Areas We Serve
Boulder, Colorado
Boulder's unique character requires a nuanced understanding. Our local mortgage brokers will guide you through Boulder's specific lending landscape, ensuring you get the best possible financing for your new home.
Denver, Colorado
Denver's competitive market demands a strategic approach. Our experienced brokers have the local knowledge and connections to navigate multiple lenders and find the most competitive rates and terms for your Denver home.
Colorado Springs, Colorado
Colorado Springs boasts a strong military presence and a flourishing housing market. Our local mortgage brokers are experts in navigating VA loans and other programs that can help veterans and active-duty personnel achieve their homeownership goals.
Fort Collins, Colorado
Fort Collins offers a vibrant community with diverse housing options. Our mortgage brokers understand the local market and can help you navigate financing options, from first-time homebuyer programs to jumbo loans for luxury properties.
Serving Home Buyers in New Mexico
In New Mexico's diverse market, an experienced mortgage broker can guide you toward the right loan option, whether you're drawn to Albuquerque's urban core or Santa Fe's unique charm. Their local knowledge helps you understand neighborhood nuances and secure the financing that aligns with your dream home.
Serving Home Buyers in Colorado
The Colorado housing market can be competitive, but a local mortgage broker can help you navigate it with ease. Their expertise in local loan programs and connections with lenders ensure you get the best rates and navigate the complexities of the process.
Albuquerque, New Mexico
Albuquerque’s housing market requires a seasoned mortgage broker to navigate local loan options and programs. We'll help you find the perfect fit for your needs, from historic districts to modern communities.
Santa Fe, New Mexico
Santa Fe's charm comes with distinct financing considerations. Our local experts understand the intricacies of the Santa Fe market, ensuring a smooth and successful homebuying journey.
Rio Rancho, New Mexico
Rio Rancho's rapid growth offers exciting opportunities. Our mortgage brokers stay informed about the latest loan options for this dynamic market, helping you secure the best deal on your dream home.
Want a more detailed estimate of your payment?
Get in touch with us and we’ll help you walk through detailed options for your mortgage.
Here’s Our Most Common Loan Programs We Match Buyers To
FHA Home Loans
Are you considering buying your first home? Consider the FHA loan, a popular mortgage option backed by the Federal Housing Administration. With minimum down payments of just 3.5% and lenient credit requirements, it's an accessible path to homeownership. First-time home buyers frequently use FHA programs to take their first step into home ownership.
HELOC Loans
A Home Equity Line of Credit (HELOC) offers homeowners the chance to borrow against their home's equity for various needs, such as renovations or consolidating debt. This revolving line of credit provides flexible access to funds up to a certain limit, with interest paid only on the amount used, and comes with variable interest rates that can change over time.
VA Home Loans
VA mortgages, backed by the Department of Veterans Affairs, are a special tribute to the service of veterans, active military, reservists, and certain spouses, offering the full purchase price financing without a down payment. These loans stand out with competitive rates and the absence of private mortgage insurance, making homeownership more accessible and affordable for those who have served.
Jumbo Loans
Jumbo loans are the go-to for financing expensive properties that conventional loans can't cover, typically necessary for homes over $750,000. These loans are considered riskier, requiring borrowers to have excellent credit and solid financials, with a minimum down payment of 10.1%. They offer the ability to finance larger amounts and avoid PMI with a sufficient down payment while providing rate flexibility.
Reverse Mortgage
Reverse mortgages offer a unique solution for homeowners 62 and older, allowing them to convert part of their home equity into tax-free income without the need for monthly repayments. This type of loan pays off any existing mortgage and provides additional funds for the borrower's use, all while enabling them to remain in their home.
Conventional Loans
Opt for a conventional mortgage loan and benefit from no direct government insurance, stringent credit requirements, and the opportunity to finance larger amounts. Ideal for those with robust financial backgrounds, this option appeals to sellers and can eliminate mortgage insurance with a 20% down payment.