Loan Calculators Take the Headache Out of Payment Calculations

Mortgages are like other major purchases you might make. You are the customer and you want the best deal you can find. These days, there is no shortage of choices and plenty of mortgage companies competing for your business. Different kinds of mortgages and various mortgage interest rates, and short and long loan terms often make it difficult to decide which is the best value for you.

You can take some of the headache out of choosing a mortgage by using a loan calculator, which makes it easy to work out what different mortgage rates and terms will cost you. With our loan calculator you can even run a comparison of three different mortgages!

Loan Calculator: How it Works

A mortgage loan calculator uses the following key figures:

Mortgage rates – the loan interest rate
Mortgage amount – the amount you want to borrow (also known as the 'principal')
Loan term – the period over which you will repay your mortgage loan

Just input the figures you want to compare and the loan calculator will calculate your monthly loan repayment. You can then use the loan calculator to check the effect of different mortgage rates, different loan amounts, and longer or shorter repayment terms.

You may be looking for your first home, moving to a new home, looking for a better mortgage to replace your current one, or just reviewing your finances. A loan calculator is a tool you shouldn't be without.

Don't forget to include figures for property taxes, mortgage insurance, and property insurance if you know the amounts and they apply to you. These items can all mount up, and you need to take them into account to get an accurate view of what your home purchase will cost you each month.

Geoff Walker
A freelance writer with degrees in arts and commerce, Geoff Walker has experience in corporate financial management, mortgages, and fund-raising.