Mortgage calculator: Financial planning made easy
Aid mortgage calculator: How to plan correctly
A detached house with a large garden in the countryside, a cozy terraced house on the outskirts or a condominium in the middle of the big city – the real estate market offers a variety of options for those who want to fulfill the desire of their own home. But this wish usually costs a not insignificant amount that is not available to everyone. For most home buyers or builders, the way to the home therefore leads to a mortgage. Calculators can help you with this big project and should not be left unused. We show you, how a mortgage calculator works and which information you need.
Calculator shows you detailed financing history
When you take out a loan for the purchase or construction of a house, go one big financial commitment which can often accompany you for several years, even decades. It is therefore important that you carefully plan the total funding – from the amount of the loan, the term to the repayment amount. A finance calculator helps you to do this and creates the entire financing process for different values. Play multiple scenarios and enter different redemption rates. You will see what effect this has on your monthly installment and term and which option is best for you. The construction credit calculator shows you how much the remaining debt will be at what time. It also takes account of special repayments. The scheduling of the repayment is not only greatly facilitated in this way – you can view the complete process of loan repayment and Expose errors in your own calculation. All in all, the mortgage calculator allows for simplified financial planning that can help you choose the right offer.
Looking for a home loan?
This is how you use the mortgage calculator correctly
To benefit from a mortgage calculator, you should use it properly. For this you need some data. In fact:
the annual percentage rate
the start date of the loan
the average special repayment that is possible per year
Based on this data, the mortgage calculator creates a individual repayment plan. If you have different offers with different levels of interest (colloquially often mortgage rates) in mind, you can compare these offers very well and imagine the eradication better.
How do you get the data you need??
As a rule, it is not a problem to obtain the required information for the mortgage lender. Some simply arise from the situation – others can be obtained through mortgage comparisons.
Loan amount: Remember here not only the purchase price, but also the additional costs when buying a house or construction costs. Also: As a rule of thumb, you should bring 20% - 30% equity into the financing.
Effective interest rate: Without an interest rate, no repayment plan can be created. You will only receive this from lenders. If you want to compare several offers, you should use a mortgage lending comparison and enter the interest rates proposed there into the calculator. In this way, you can take a closer look at the two or three best loan proposals.
Repayment rate: The repayment rate describes in percent how much you repay in one year. The higher the repayment rate, the faster the loan is paid off. In this respect, this point has an impact on the monthly rate and the term. How much you set the personal repayment rate is an individual decision, which depends primarily on your own financial situation.
Start date of loan: This date marks the day on which the repayment of the loan should begin and thus also depends on your personal starting position.
Running time: The duration indicates how long the debit interest has been fixed and, consequently, can not rise. The duration of the commitment is at the discretion of the borrower. For construction loans, terms of up to 30 years are possible. The following applies: In low-interest phases such as the current one, you should choose the longest possible interest rate.
unscheduled: Special repayments help you to repay the loan faster and thus are faster debt-free. Most providers allow special repayments up to a certain amount each year. In the mortgage calculator you can specify whether you want to make regular special repayments. The repayment plan takes these into account accordingly.
Important: If you are planning your construction financing, you should inquire whether government subsidies such as the housing premium, Riester or KfW funding are suitable for you. Because home buyers can often benefit from low-interest loans, tax benefits and state subsidies. Many state subsidies can be applied for from the lender.
Mortgage calculator makes you fit for the consultation
The dream of owning a home is usually associated with high costs – but a home loan makes it possible. However, as this is often completed by a very large sum, it is all the more important that the financing process is optimally tailored to your own situation. A mortgage calculator is an important tool on the way to your customized mortgage lending. Calculators show you, How much credit you can really afford. Use this tool and go well prepared for your appointment at the bank.
Home Financing: What you should consider in the home loan With house financing calculator cheap into the dream house: Summary For a solid house financing…
Abu Dhabi Travel Tips | Your honest detailed travel guide Tips from vacationers to vacationers looking for Abu Dhabi? On my travel blog you are…
Household Comparison of more than 200 tariffs including expert reviews calculator Rating customer review 99% satisfied customers Based on 60,000…
We love puppies. You really want a puppy? With us you will learn everything you need to know . We introduce you to the most popular breeds – and add new…