- Annual income
- Your annual income
before taxes. For married couples this is your total combined annual
income before taxes.
- Purchase price
- The price of
the home you wish to purchase. This is the actual price you'll 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 year 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 upfront
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 miscellaneous 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 the equity in your
home exceeds the percentage required for PMI, 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
- Limit your down
payment to percentage required to eliminate the need for PMI payments.
Even if you have more cash on hand than required for closing costs
checking this box will limit your down payment to the minimum amount
required to forego PMI.
- 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 annual
income debt percentage
- Not shown. This
is the percentage of your annual income your financial institution
allows you to use for debt installment payments. 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 annual
income percentage
- Not shown. This
is the percentage 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.
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