Monthly Payment Calculator Instructions
When calculating your monthly mortgage payment, there are several factors to consider. Use the following instructions along with helpful resources from The Tim Hawkes Team to make an informed decision:
Conventional Loan Down Payment: First Time Homebuyers can use as low as 3%, Regular buyers use 5%, and putting 20% down allows you to avoid mortgage insurance. Learn more about Purchase options.
FHA Loan Down Payment: FHA loans require a minimum down payment of 3.5%, while 5-10% down payments allow the monthly mortgage insurance to drop off after 11 years. Check out our FHA Loan page for more details.
VA Loan Down Payment: VA loans offer the benefit of no down payment, but you will need to cover a few thousand dollars in closing costs and set up an escrow account for taxes and insurance. Explore VA Loans for veterans and active-duty military personnel.
USDA Loan Down Payment: USDA loans also require no down payment, but you will need to pay closing costs and establish an escrow account for taxes and insurance. Find out more about USDA Loans for rural and suburban homebuyers.
Annual Interest Rate: Do your best to estimate current interest rates. For accurate and up-to-date rates, you can always contact us for assistance.
Private Mortgage Insurance (PMI): PMI is required on any FHA or Conventional loan with a down payment less than 20%. The cost can be paid monthly, upfront, or incorporated into a higher interest rate. Use our Debt Consolidation Calculator for estimating PMI based on different down payment scenarios.
Monthly Insurance: Estimate your homeowners' insurance using a general rule of .125% of the loan amount. (.00125 * your loan amount) Get more insights from our Home Insurance page.
Monthly Property Taxes: Calculate property taxes due to the county based on .027% of your loan amount. (.00027 * your loan amount) Visit our Property Taxes section for further information.
Length of Mortgage: Most people opt for a 30-year mortgage term. For other options, explore Loan Terms.
For a personalized mortgage calculation and to explore the best options for your financial situation, feel free to reach out to us at The Tim Hawkes Team. We're here to help you make an informed decision and guide you through the mortgage process. Call us today at 801-820-7620 for expert assistance.
Ready to move forward? Contact us to help you verify the payment you calculated and your estimated loan terms. Mortgage calculators are a great tool to see if things make sense. Once you feel comfortable with the estimated payment, it's time to move forward. Complete our form or call us at 801-820-7620 to get started!