A Guide to PITI or Mortgage Calculators
If you want to know if you are capable of obtaining mortgage or refinancing a home, then mortgage calculators can be used. These types of calculators can calculate the total home loan payment including the principal, interest, taxes, and insurance which is commonly referred to as PITI. These calculators are very useful for conventional loans and loans insured by the FHA and the VA.
If you are looking for real estate where the interest rates and home values are very low you can still find them in place where the real estate market is booming. Mortgage lenders are offering different kinds of loans and special mortgage loans to attract customers. Today, there are mortgage loan calculators which you can use and are provided by mortgage companies but are also available online if you want to determine if you are eligible for a home loan. You can easily use these calculators and they are also very efficient. With a mortgage loan calculator, all your need to do is to enter basic information including the amount of loan your will borrow, the monthly payment, the target mortgage interest rate, the purpose of your loan, and the state where you will take the loan, and when these information are provided, then this electronic program will determine your eligibility for the loan. With just a click of the button, you will be provided the information that you need including current mortgage rates and different loan options that are available. It is mortgage lenders or brokers that can provide you with a mortgage loan calculator to use for your needs. You can also find these mortgage loan calculators online.
If you want to find the true interest rate on every mortgage loan you are considering and to protect yourself from unscrupulous practices, then you will need a simple interest calculator to accomplish that. A knowledge of the true interest rate will help you compare alternative sources so that you can find and get the best deals. You simply need to enter the principal, term of loan, and interest rate to get a monthly payment.
Checking if the interest rate is correct can be done with the loan interest calculator. In order to check this, then you need to input your monthly payment as well. The output will give you the true rate of interest for your mortgage loan.
If you want to know how much you are borrowing, how much you are paying back and how much interest you are paying each month, then you can use the amortization calculator. This will also give you information if it is better for you to take a home loan for a shorter period or for the normal time period.
Amortization calculators can also be found online. With this calculator, the loan amount, the term, and the interest are to be entered. Then you can compare results and find the best deal.