How Do You Calculate A Mortgage Payment & Taxes?
When purchasing a home, many people want to know how much their entire monthly payment will be when obtaining a mortgage. After all, aside from the purchase price, the monthly payment determines if the home is affordable. The monthly mortgage payment will take into account such variables as the amount of the loan, the terms of the loan, the interest rate, private mortgage insurance (if needed) and property taxes. Determine the amount of the loan. The amount is the purchase price of the property minus any down payment you are making against the purchase price. For instance, if a home is $400,000 and you have $40,000 to put down, the loan needed is for $360,000. Decide on the terms of your loan. There are many different mortgage products to choose from. With a fixed-rate loan, the interest rate stays the same for the entire loan. An adjustable-rate mortgage has an interest rate that adjusts after a period of time, with later payments higher than the initial payments if overall interest r
