Free Home Mortgage Calculator Loan amount: Interest rate: Loan period (in years): Monthly payment: function calculate(){ var amount = document.calculator.amount.value; var interest = document.calculator.interest.value; var years = document.calculator.years.value; var payment = 12 * ((((amount * (interest/100)) / 12) * (years * 12)) + (amount / (years * 12))) / (1 - (Math.pow(1 + ((interest/100) / 12 ), (-1 * years * 12)))); document.calculator.payment.value = Math.round(payment * 100)/100; } Making Wise Mortgage Choices with Free Home Mortgage Calculators Taking on a mortgage is one of the biggest financial decisions of your life. Homeownership is one of the cornerstones of financial stability and building wealth. This is why it’s essential that you know and understand every aspect of the process: from the mortgage interest rates available in the market, to the repayment terms and conditions of the loan. Understanding each of these components helps you make an informed judgment so that you can make the right mortgage choices. To that end, there are several documents you’ll need to be familiar with, such as the mortgage estimates, Good Faith Estimates from the lender, etc. But perhaps the most important resource you have in your arsenal are free home mortgage calculators. Home mortgage calculators offer you the ability to automatically calculate how much you’re likely to pay under different loan scenarios. That’s why it’s the most invaluable tool for perspective home buyers. Moreover, they are also incredibly useful for existing mortgage holders who are looking to refinance and secure better mortgage terms. What Do Home Mortgage Calculators Do? Using an online home mortgage calculator allows you to consider several variables such as the loan amount, interest rate, loan tenure, and down payment. Most calculators have an easy-to-use interface where you can input values to get an estimate of the monthly payment that you’re likely to make. Moreover, many of the free home mortgage calculators on the Internet let you increase or decrease the loan amount to determine the ideal loan amount for you. Similarly, you can play with different interest rates and loan tenures to ascertain the most favorable repayment option. Most calculators also enable you to specify a down payment amount and the resulting amount you’ll be borrowing. In addition to showing you the monthly payments, the mortgage calculator will also offer you an overview of the total cost of the loan when it’s paid off. This includes the total amount of interest you’ll be paying over the life of the loan. In this way, you can easily compare different mortgage options to get the best rates and terms. Benefits of Using Free Home Mortgage Calculators One of the biggest advantages of utilizing free home mortgage calculators is that you’re better equipped to spot an amortization schedule. An amortization schedule is a breakdown of the amount of principal and interest that you’ll be paying on the loan each month. When you know the exact monthly payments, it becomes easier to build a budget around it. At the same time, having access to an amortization calculator gives you a clear idea of when you’ll be able to pay off the loan if you stick to the repayment plan. This helps in creating an emergency fund for the long-term and look into other viable investment opportunities such as a Roth IRA, educational funds, or stocks, etc. Furthermore, free home mortgage calculators are also an excellent way to efficiently compare mortgage rates offered by various lenders. This is especially useful if you buy a house in an area where there’s a wide variety of mortgage rates and terms available. By plugging in the different interest rates and loan tenure, you can quickly assess the best option for your scenario. Conclusion Free home mortgage calculators are an invaluable resource when it comes to taking on a loan. Whether it’s for buying a house or refinancing it, mortgage calculators equip you with the ability to accurately assess the repayment options you have. Furthermore, they also help you compare mortgage rates and hone in on ideal interest rates. All in all, leveraging the power of home mortgage calculators is one of the smartest financial decisions you can make.