06/07/2016

If you'll be buying a property soon, something you shouldn't forget to do in order to create a sound budget and plan out your financial future is to figure out how much your monthly mortgage payments would be (in case you're applying for a loan). However, if you want to simplify the process of calculating your mortgage fees, you can use the Mortgage Calculator on this website. To learn how to take advantage of it, continue reading. ## How to Figure Out Your Monthly Payments with a Mortgage Calculator from the Title Insurance Professionals in Tamuning

As you enter the page, it's easy to notice that the calculator is divided into two sections. To simplify the tutorial, we'll go over each of the sections and explain the fields in each one thoroughly.
## The Top Section

First, there's a top section that includes four blank boxes where you need to add in your specific information to calculate your monthly fees. These boxes are labeled:
## Home Price

One of the most important numbers you should enter is the Home Price, which is the amount of money that you agreed to pay for the property you're interested in. To arrive at this figure, you probably negotiated with the sellers until you both accepted a number along with conditions to continue with the purchase. Let's exercise our imaginations, and say that the Home Price is $300k.
## Down Payment

Following the Home Price, there's the Down Payment. Here you should input how much your first payment was for the property. In most cases, this money is given out in cash, comes out of your own pocket, and covers around 20% of the Home Price to avoid other expenses. For this example, we'll say you gave $60k as your Down Payment.
## Annual Interest Rate

Then there's the blank space labeled Annual Interest Rate. This number will depend on your credit, your loan amount, and other factors that were discussed with your lender. It represents how much you'll have to pay a year for having the loan to cover service fees. In keeping with the examples above, we'll make your Annual Interest Rate of 5%.
## Number of Years

As the name states, in the Number of Years you will have to enter the number of years you have to pay off your mortgage. Once more, this will be determined with the help of your loan officer, and will vary depending on your credit score, your loan amount, and other factors. Usually, people will have 30 years to settle their debt, so that's what we'll make it in this example.
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## The Bottom Section

Next up is the second section, which has a light gray background. As you can see, these three fields have zeros next to them. However, in this section, you don't need to worry about putting your information in, as the fields will be filled in automatically as you enter your data in the section above. The numbers that show up will represent:
## Loan Amount

First up is the Loan Amount. The number that turns up will depict how much money the lender will have to give you so you can purchase the property you're interested in. The Loan Amount is calculated through a simple subtraction: the Home Price ($300k) minus the Down Payment ($60k) = $240k.
## Number of Payments

Moving on to the Number of Payments, this number gives you an idea of how many monthly payments you will need to make in order to cover your debt. To arrive at this figure, you just need to multiply the Number of Years (30) times 12 (the months in a year). In the scenario we have been working with, you would have to make 360 payments.
## Monthly Principal and Interest

Finally, we have gotten to the magic number. The Monthly Principal and Interest is how much you'll need to pay each month over the course of 30 years to completely settle your $240k loan with a 5% annual interest. In this case, your monthly mortgage fees are: $1,288.37.
## If You Require a Professional Title Insurance Agency in Tamuning

Trust that at Pacific American Title in Tamuning you'll find experienced and reliable guidance that can help you through your real estate deals by lending professional title services. Call 671-648-7777 to find out more about the services, or to acquire title insurance in Tamuning.

- Home Price
- Down Payment
- Annual Interest Rate
- Number of Years

- Loan Amount
- Number of Payments
- Monthly Principal and Interest