Buying a House: How Do I Figure Out My Monthly Payments?
Some people want to buy, but aren’t sure what to expect. One of the concerns is how much will the payments be? Will I really be able to save money?
Mortgage calculators don’t include all relevant factors and there are differences for each US state.
Here’s a simple way to find the answer.
Note: This is not an exact science because property taxes can differ by parish/county and other factors.
This exercise is only to determine an average or approximate monthly payment.
Why are taxes, insurances and interest varied by area?
Interest rates, taxes and insurances are diverse because every area has different formulas for each. There’s no firm way to calculate your exact monthly payment, but you can get close.
Here’s some tips on figuring out your monthly homeownership budget.
- Use an online mortgage calculator to figure out approximately what your monthly payment before taxes and insurance.
Click HERE to do that.
Enter a 3.5% downpayment if you plan to do FHA. Enter a 5% if you plan to go conventional, and enter 15–20% for investment properties. The…
