| Annual income |
Your annual income. For married couples
this is your total combined annual income. |
| Purchase price |
The price of the home you wish to purchase.
This is the actual price you pay, not including any closing costs.
|
| Total monthly payment |
Total monthly payment that you can qualify
for. This is the total of principal, interest, taxes and insurance
paid each month. Often called PITI. |
| Cash on hand |
Cash you have for the down payment and
all closing costs. |
| Interest rate |
The current interest rate you can receive
on your mortgage. |
| Term in years |
The number of years over which you will
repay this loan. The most common mortgage terms are 15 years and
30 years. |
| Property tax rate |
Your property tax rate. 1% for a $100,000
home equals $1,000 per year in property taxes. |
| Home insurance rate |
Your homeowner's insurance rate. 0.5%
for a $100,000 home equals $500 per in for homeowner's insurance.
|
| Monthly car payment(s) |
Total monthly payment for your car loan(s).
|
| Credit card payments |
Total monthly minimum payments for your
credit cards. |
| Other loan payments |
Any other installment loan payments,
such as student loans or unsecured loans. |
| Total closing costs |
Total up front costs to close your loan.
This is the total of your loan origination fee, points paid and
other closing costs. |
| Loan origination rate |
The percentage the lending institution
charges for its origination fee. 1% for a $100,000 home equals $1,000.
|
| Number of points paid |
The total number of points paid to reduce
the interest rate of your mortgage. Each point costs 1% of your
mortgage balance. |
| Other closing costs |
Estimate of all other closing costs for
this loan. This should include filing fees, appraiser fees and any
other misc. fees paid. |
| Monthly PMI payment |
Monthly cost of Principal Mortgage insurance
(PMI). For loans secured with less than 20% down, PMI is estimated
at 0.5% of your loan balance each year. Monthly PMI is calculated
by multiplying your starting loan balance by this percent and dividing
by 12. When your loan balance exceeds 20% of the original purchase
price, your PMI payment drops to zero. |
| Monthly PI payment |
Monthly principal and interest payment.
|
| Total for down payment |
Total funds remaining, after closing
costs, for down payment. |
| Limit down payment to 20% |
Limit down payment to 20% of the purchase
price. Even if you have more cash on hand than required for closing
costs and a 20% down payment. |
| Show schedule by month |
Display the payment schedule by month
when you press the Payment Schedule button. |
| Show schedule by year |
Display the payment schedule by year
when you press the Payment Schedule button. |
| Total debt percent of annual income |
Not shown. This is the percent of your
annual income your financial institution allows you to use for installment
payments debt. This includes car payments, credit card payments,
other loan payments and your "Principal, Interest, Tax and Insurance"
payment for your home. The default rate is 36%. |
| PITI percent of annual income |
Not shown. This is the percent of your
annual income your financial institution allows you to use for your
"Principal, Interest, Tax and Insurance" payment for your home.
The default rate is 28%. |
| Qualify amount |
Shown as "Total monthly payment."
This is the total amount you qualify for per month. This amount
is the total of "Principal, Interest, Tax and Insurance" for your
home. |
