Everyone wants to own their own place, but purchasing a home comes with a wealth of financial questions, the answers of which will impact the rest of your financial life. For homeowners having trouble sorting through questions and the data, an online financial calculator can help. Here are a few Web-based tools to help make your biggest financial decision a little easier.
How much can I afford?
When it comes to purchasing a home, the amount you can reasonably afford is the million-dollar question, even if your budget is considerably smaller than that. While financial circumstances differ from household to household, the maximum mortgage a family can take on boils down to the combined annual salaries versus household debts and the cost of a new home. Bankrate’s maximum mortgage calculator can simplify the math for you. Taking everything from annual bonuses to alimony and child support into consideration, this online financial calculator provides a solid estimate of how much mortgage debt a household can sustain. Once families know how much debt they can handle, they can start the hunt for their perfectly priced dream home.
Rent or buy?
Knowing how much mortgage you can afford doesn’t necessarily answer the question of whether it’s smarter to rent or buy. Before purchasing a home, future homeowners must consider several factors. These include how long they plan to stay in the new home, whether the home’s value will go up with time and how much they can afford as a down payment. Before signing on the dotted line, the rent or buy online financial calculator can help you figure out whether to make the leap into homeownership.
How much will it cost?
Many homebuyers only think about paying the loan principal plus interest. Few remember they’ll also have to pay taxes, origination fees and home insurance. To help figure out total expenses, let an online financial calculator come to your rescue. To total up your monthly payment, the mortgage loan calculator takes these factors into consideration for fixed-rate mortgages.