Welcome to Home Mortgages
Mortgage Loan Quote Article
This is a selection made from among articles on Mortgage Loan Quote. For a permanent link to this article, or to bookmark it for future reading, click here.
from:
Use Mortgage Calculator To Determine Your Borrowing Capability
By Vicky Edema
One of the most useful tools is a mortgage calculator. As a general rule a mortgage calculator is very user friendly. Establishing your borrowing capacity can be approached in a number of ways and is a relatively quick and simple process.
For example, in Australia a mortgage calculator will allow you to enter your net income and your current liabilities such as a car loan or credit card debt and will then quickly give you an idea as to the amount you can borrow. The mortgage calculator will also advise your monthly instalment amount and give you the total amount of interest you will pay over the loan term (this can be a bit frightening but can also act as a good motivator for you to make as many extra repayments as possible on your mortgage!)
A good mortgage calculator will represent the payments you make in graph form as well.
Another feature of a mortgage calculator could be a comparison calculation whereby you enter your existing bank's rate and term into the mortgage calculator together with the rates and term of any proposed new lender. The mortgage calculator will show you the amount of interest you will pay under each loan - again a graph is often provided. This type of comparison mortgage calculator is quite sophisticated in that it has provision for a number of variables. For example you may compare your existing loan which may have an initial fixed rate term for 3 years @ 8.20% reverting to a 7.75% variable rate at the end of that 3 year period with a proposed loan which may have an initial 5 year fixed period @ 7.95% reverting to a 7.65% variable rate for the remainder loan term. The mortgage calculator will calculate the fixed interest payable for the first 3 or 5 years plus the interest for the remaining term at the variable rate and give you the total interest amount that you will pay for the full loan term on each mortgage. The mortgage calculator will again summarise this in graph form and advise the amount you will save or lose by staying with your existing lender.
If you are reasonably confident of your borrowing capacity you can cross check by using a mortgage calculator and simply entering the amount you wish to borrow. The mortgage calculator will then determine your monthly repayment amount. You can then determine yourself whether you have the capacity to service the loan taking into account your net take home pay and after allowing for your living expenses and repayments on any other liabilities.
Although a mortgage calculator can give you a guide to your borrowing capacity there are other things that a lender will take into consideration when you apply for a loan. For example the number of dependent children you have will impact on your borrowing capacity.
In Australia, a mortgage calculator is a good resource and you should certainly check them out to be confident that you are on the right track in relation to your estimates on borrowing capacity.
Vicky Edema has been the Managing Director of Austral Mortgage Corporation since 1992, the company provides an easy to use mortgage calculator and offers competitive mortgage rates. Austral's comprehensive calculators: http://www.australmortgage.com.au/mortgage-calculator-s/mortgage-calculator-s.html
Article Source: http://EzineArticles.com/?expert=Vicky_Edema
http://EzineArticles.com/?Use-Mortgage-Calculator-To-Determine-Your-Borrowing-Capability&id=779335
Mortgage Loan Quote Specific links
Blinkx Video Search
- World's largest video search engine. Over 26 million hours of video.
-- http://www.blinkx.com/
Get Hired
- Earn more money with a better job now
-- http://www.hotjobs.com/
Ripe Tv
- Hottest Video portal on the internet. Every Kind of Video - Supermodels, Martial arts, Cool shows, Pick Miss Ripe and More!
-- http://www.ripetv.com/
Free Online Kids Games
- Hundreds of fun free online games for kids.
-- http://www.alfy.com/
Atom Comedy: Great Moments In Human Interaction
- There are a small handful of moments in human life that are so perfect, so wonderful, so priceless that we strive to capture them forever on film. These are definitely not those moments...
-- http://www.atom.com/
Mortgage Loan Quote News
Lower mortgage rates help but jobs, prices key - Reuters
 Canada.com | Lower mortgage rates help but jobs, prices key Reuters - A government plan to sop up hundreds of billions of mortgage securities spurred a bond rally that yanked 30-year home loan rates down half a percentage ... S.Korea govt faces more pressure to push bank mergers PRESS DIGEST - Wall Street Journal - Dec 3 |
UPDATE 1-US mortgage applications post largest gain ever - Reuters
UPDATE 1-US mortgage applications post largest gain ever Reuters - P: Quote, Profile, Research, Stock Buzz), and Ginnie Mae. "This clearly was an early holiday gift from the Federal Reserve to mortgage holders and home ... |
RLPC-RBS cuts loan portfolio sale to 440 mln euros-sources - Reuters
RLPC-RBS cuts loan portfolio sale to 440 mln euros-sources Reuters - L: Quote, Profile, Research, Stock Buzz) has reduced the size of the leveraged loan portfolio that will be auctioned on Wednesday to 440 million euros from ... |
Investors sue Countrywide to force loans purchase - Reuters
Investors sue Countrywide to force loans purchase Reuters - N: Quote, Profile, Research, Stock Buzz)-owned Countrywide Financial on Monday demanding that Countrywide buy every mortgage loan for which it agrees to ... |
UK mortgages chief sees 2009 lending down on 2007 - Reuters
UK mortgages chief sees 2009 lending down on 2007 Reuters - L: Quote, Profile, Research, Stock Buzz) chief executive James Crosby in his government-commissioned report on the UK mortgage market. ... |
CORRECTED-WRAPUP 1-US throws new lifeline to stressed households - Reuters
 New Zealand Herald | CORRECTED-WRAPUP 1-US throws new lifeline to stressed households Reuters - P: Quote, Profile, Research, Stock Buzz) and the Federal Home Loan Banks. It will also purchase up to $500 billion of mortgage securities backed by Fannie ... UPDATE 1-Fannie Mae, Freddie Mac debt soars on Fed program Troubled Assets: The Untried Remedy Can They Do That? |
PRESS DIGEST - Hong Kong - Dec 2 - Reuters
PRESS DIGEST - Hong Kong - Dec 2 Reuters - HSBC raised mortgage loan rates on Monday by 50 to 75 basis points on new loans. It was the fifth increase in mortgage rates by the bank this year. ... |
UBS widens Goldman Q4 loss view, sees loss at M.Stanley - Reuters
UBS widens Goldman Q4 loss view, sees loss at M.Stanley Reuters - Separately, S&P Equity Research also forecast a loss of $3.25 a share for Goldman Sachs, saying it expected write-downs to mortgage, leveraged loan, ... |
AIG Cancels Billions in Swaps, Hopes to Renegotiate Fed Loan - Trading Markets (press release)
AIG Cancels Billions in Swaps, Hopes to Renegotiate Fed Loan Trading Markets (press release), CA - AIG's swaps were written to cover multisector CDOs that include tranches of mortgage-related debt. The new facility, funded with $30 billion from the ... |
UBS to handle Lehman Japan loan sale -sources - Reuters
 Calgary Herald | UBS to handle Lehman Japan loan sale -sources Reuters - VX: Quote, Profile, Research, Stock Buzz) has been hired to arrange the sale of real estate loans extended by the Japanese unit of failed investment bank ... UPDATE 1-Lender Downey to file for Chapter 7 bankruptcy |