Payment Breakdown
A breakdown of your total payment so you can see where money is allocated.
per month
- Principal & Interest
- Taxes
- Insurance
- HOA Dues
- PMI
- Extra Payment
- Monthly Payment
- Total Payment
- Home Value:
- Mortgage Amount:
- Monthly Principal & Interest:
- Monthly Extra Payment:
- Monthly Property Tax:
- Monthly Home Insurance:
- Monthly PMI:
- Monthly HOA Fees:
- Total # Of Payments:
- Down Payment:
- Principal:
- Total Extra Payment:
- Total Interest Paid:
- Total Tax, Insurance, PMI and Fees:
- Total of all Payments:
Early Payoff Strategy
Add an extra payment and see how many months you can eliminate on the back end of the loan.
Lump Sum Payment
Shorten your loan term by paying a lump sum all to principal.
$
Total Interest Difference$
Monthly Payment Comparison
A breakdown of your total payment so you can see where money is allocated.
$
Time to Recoup FeesTotal Interest Comparison
A breakdown of your total payment so you can see where money is allocated.
Results Summary
| Buying | Renting | |
|---|---|---|
| Cash Spent | $ | $ |
| Home value | -$ | -- |
| Balance on Loan | $ | -- |
| Closing costs on sale | $ | -- |
| Adjusted Net Cash Savings | $ | $ |
Payment Breakdown
A breakdown of your total payment so you can see where money is allocated.
per month
- Principal & Interest
- Taxes
- Insurance
- HOA Dues
- Extra Payment
- Monthly Payment
- Total Payment
- Home Value:
- Mortgage Amount:
- Monthly Principal & Interest:
- Monthly Extra Payment:
- Monthly Property Tax:
- Monthly Home Insurance:
- Monthly HOA Fees:
- Total # Of Payments:
- Down Payment:
- Principal:
- Total Extra Payment:
- Total Interest Paid:
- Total Tax, Insurance and Fees:
- Total of all Payments:
Early Payoff Strategy
Add an extra payment and see how many months you can eliminate on the back end of the loan.
Lump Sum Payment
Shorten your loan term by paying a lump sum all to principal.
$
Total Interest Difference$
Monthly Payment Comparison
A breakdown of your total payment so you can see where money is allocated.
$
Time to Recoup FeesTotal Interest Comparison
A breakdown of your total payment so you can see where money is allocated.
$
Cap Rate%
Deal Breakdown
A breakdown of your rental loan deal.
- Loan Amount:
- Down Payment:
- Mortgage Payment:
- Monthly Payment:
- Origination Fee Amount:
Deal Metrics
A metrics of your rental loan deal.
- Total Closing Costs:
- Cash Needed to Close:
- Price Per Unit:
- Gross Rental Income:
- Operating Expenses:
- Net Operating Income:
%
DSCRReturn Metrics
A metrics of your rental loan return.
-
Cash Flow:Annual cash flow after all expenses and mortgage are paid.
-
Cap Rate:Cap rate, or capitalization rate, is a metric that divides your net operating income (not including your mortgage) by the purchase price or property value. It is most useful in comparing multifamily properties.
-
Cash on Cash Return:Cash on cash return is a metric that divides your pre-tax cash flow by the total cash invested in the deal. This is a key metric for most investors.
-
DSCR:DSCR calculates the ratio of rental income to your mortgage payment. Ideally, you'll have a DSCR of 1.0 or higher. First Equity CAN finance rental properties at DSCRs lower than 1.0 (negative cashflow).
$
Net Profit$
Deal Breakdown
A breakdown of your rental loan deal.
- Loan Amount:
- Down Payment:
- Monthly Interest Payment:
- Total Interest Over Term:
- Origination Fee Amount:
- Other Closing Costs Amount:
- Cost To Sell Amount:
Deal Metrics
A metrics of your rental loan deal.
- Closing Costs:
- Carrying Costs:
- Borrower Equity Needed:
- Total Cash In Deal:
%
Loan to After Repaired Value%
Return Metrics
A metrics of your rental loan return.
- Net Profit:
- Loan to After Repaired Value:
- ROI:
Disclaimer:
Results received from this calculator are designed for comparative purposes only, and accuracy is not guaranteed. We do not guarantee the accuracy of any information or inputs by users of the software.
This calculator does not have the ability to pre-qualify you for any loan program which should be verified independently with one of our Loan Consultants. Qualification for loan programs may require additional information such as credit scores and cash reserves which is not gathered in this calculator. Information such as interest rates and pricing are subject to change at any time and without notice. Additional fees such as HOA dues are not included in calculations. All information such as interest rates, taxes, insurance, PMI payments, etc. are estimates and should be used for comparison only. We do not guarantee any of the information obtained by this calculator.
What is a Mortgage Calculator?
A mortgage calculator is an essential tool for anyone considering purchasing a home in Denver. It allows potential homebuyers to estimate their monthly payments based on factors such as the loan amount, interest rate, and term. By inputting this information, users can quickly determine if a specific property is within their budget and make more informed decisions about their financial situation.
Additionally, a mortgage calculator can provide insights into other costs associated with homeownership, such as property taxes, private mortgage insurance, and homeowners association fees. Whether you’re a first-time homebuyer or a seasoned homeowner, using a mortgage calculator can help you navigate the Denver housing market with confidence.
Calculating Mortgage Payments
Variables to Consider
Several variables are involved in a mortgage calculator. Here are the key variables to consider when using a mortgage calculator.
Home Value
The first variable to input into the Denver mortgage calculator is the estimated home value. This represents the total cost of purchasing a property in the Denver area.
Down Payment
The down payment is a crucial aspect of the mortgage calculation. When determining your down payment amount, consider factors such as your financial circumstances and desired loan type. A higher down payment can result in lower monthly mortgage payments and potentially even eliminate the need for Private Mortgage Insurance (PMI).
Loan Length
The loan length indicates the duration in which you plan to repay your mortgage. Typical loan lengths range from 15 to 30 years. Shorter loan terms generally mean higher monthly payments but lower overall interest costs. Longer loan terms usually result in lower monthly payments but higher interest costs over time.
Interest Rate
The interest rate is a significant factor that affects your monthly mortgage payment. By inputting the interest rate into the mortgage calculator, you can determine the overall cost of borrowing and the impact it has on your budget. It is essential to consider that interest rates may vary depending on your credit score, loan type, lender, and market conditions.
PMI (Private Mortgage Insurance)
PMI comes into play if your down payment is less than 20% of the home value. It protects the lender against potential losses in case of default. The mortgage calculator incorporates the PMI cost to provide a more accurate estimation of your monthly payment.
Property Tax
Property tax rates in Denver vary based on factors such as location, property value, and local government policies. The mortgage calculator takes property tax into account, allowing you to include this cost in your budget calculations.
HOA Fees
If you’re purchasing a property within a homeowners association (HOA), you’ll be subject to HOA fees. These fees cover maintenance, amenities, and services provided by the association. Make sure to include these charges in the mortgage calculator to get a comprehensive view of your monthly housing expenses.
Lump Sum Payments
Lump sum payments allow you to make additional payments towards your principal loan amount. By using the mortgage calculator, you can determine the potential reduction in the loan term or interest savings that result from making such payments. This feature gives you a clearer understanding of the long-term impact of making additional one-time payments.
How to Calculate Mortgage Payments
Calculating mortgage payments can seem overwhelming, but with a little help, you can easily determine your monthly costs. To start, you’ll need to know the principal amount of your loan, the monthly interest rate, and the total number of payments over the life of the loan.
The principal amount refers to the total loan amount you’re borrowing to purchase a home. The monthly interest rate is the percentage of your loan amount that you’ll be charged each month. And the number of payments is simply the total number of months you’ll make payments on your loan.
To calculate your monthly mortgage payment, you can use the following formula:
Mortgage Payment = Principal Amount * Monthly Interest Rate / (1 – (1 + Monthly Interest Rate) ^ -Number of Payments)
The formula for calculating mortgage payment is: Mortgage Payment equals Principal Amount multiplied by Monthly Interest Rate divided by the quantity of one minus the quantity of one plus Monthly Interest Rate raised to the power of negative Number of Payments.
By plugging in the provided variables into this formula, you’ll be able to determine your monthly mortgage payment. This will give you a clear picture of what to expect in terms of your financial obligations.
Remember, this calculation is for illustrative purposes only and doesn’t account for additional costs such as property taxes, homeowners insurance, or private mortgage insurance. However, it’s a great starting point to help you understand your potential monthly expenses.
At The Rueth Team, we offer a customized Denver mortgage calculator that incorporates all these factors, making it easier for you to estimate your monthly mortgage payments accurately. Our calculator allows you to input additional costs and provides you with an overall picture of your monthly expenses.
Take the first step towards homeownership by using our Denver mortgage calculator and gaining a better understanding of your financial situation.
Common Mortgage Calculation Issues
When using a mortgage calculator, it’s important to be aware of common calculation issues that can arise and potentially affect the accuracy of your results. These challenges can lead to errors in estimating your monthly mortgage payment and overall financial obligations.
- Incorrect Interest Rate: One common issue is entering an incorrect interest rate. The interest rate directly affects your monthly payment, so even a small discrepancy can result in a significant difference in your calculations. Always double-check the interest rate you input to ensure accuracy.
- Wrong Loan Term: Another potential challenge is selecting the wrong loan term. Mortgage calculators typically offer various options, such as 15-year or 30-year mortgages. Selecting the wrong term can lead to miscalculations in your monthly payment amount and the total interest paid over the life of the loan.
- Ignoring Additional Costs: Additionally, it’s crucial not to overlook additional costs when using a mortgage calculator. Expenses like property taxes, homeowners insurance, and private mortgage insurance can significantly impact your monthly expenses. Failing to include these costs can result in an inaccurate estimation.
To avoid these issues and ensure accurate calculations, consider using a Denver mortgage calculator that takes all these factors into account. Our customized calculator considers additional costs, allows you to input the correct interest rate and loan term, and provides a comprehensive picture of your monthly expenses. This way, you can make informed decisions based on accurate calculations tailored to the Denver market.
