Find out the payments on that great property! We all want to know this information before getting too attached to a great home.
Use this handy mortgage calculator to get an idea of the monthly payment for your Central Alabama home. Remember that with most loans, your monthly payment will also include 1/12 of your yearly taxes, and 1/12 of your yearly homeowners’ insurance.
For example, if your Homeowner’s Policy costs $2400 per year, your insurance would add $200 per month to your payment.
In the same way, if your tax obligation is $1200 per year, that would add $100 per month to your payment.
Let’s say that your loan (just principal and interest) payment is $1500 per month. When you add the above insurance and tax it makes the total amount you send to the bank every month $1800.
In your results below the Mortgage Calculator, the “Installment” is your monthly payment amount on just the loan itself. If your payment seems too high for your comfort, or doesn’t fit the parameters your lender set, we may need to shop for a home in a lower price range. If the difference is not very much, you can increase your down payment. This will bring down the amount you are financing.
To consider a different down payment, reduce your loan amount by that number. Maybe your purchase price is $400,000 and you want to make a down payment of $20,000. Your new loan amount would become $380,000. To see the new payment, you would reduce the value entered in the first line of the table.
You can shop around for a better price for your insurance. Your favorite company may give you a rate they say is just fantastic! A competitor might come in with a lower rate to get your business.
Still shopping for homes? Start here. Or download a copy of our NEW! Seller’s Guide here.
