This home loan repayment calculator uses the same basic formula that banks and financial institutions use to determine mortgage repayments. To use it, all you need to do is enter the basic details of your loan, including:
The loan balance chart gives you a visual breakdown of the difference between paying back the principal and interest on your home loan. Your results will give you an estimate of your monthly repayment, the total interest payable, and the total sum you need to pay back (principal and interest).
This repayments calculator only provides an estimate and is based on a series of assumptions, including:
Because every lender has their own policies, fees, and charges attached to their loans, a single calculator can't account for them all. Therefore, you should only use the results of this calculator as a guide to help you find an affordable home loan.
If you're seriously considering getting into the housing market, then this home loan repayments calculator is a great place to start researching what's affordable for you. If you have a rough idea of the loan amount you wish the borrow, you can easily use the calculator to see how different interest rates, fees, and charges affect the affordability of your monthly payments.
Applying for a home loan can be a long and complicated process, and you always face the risk of being rejected and having this reflected in your credit report. This is why you should do your research and only apply for a home loan you have a realistic chance of getting. This calculator is an excellent way to determine what amount you can afford to borrow and avoid applying for unsuitable home loans.
Using this loan repayment calculator, you can browse the property market more efficiently since you'll be able to rule out homes that don't fit your price range. This helps you to avoid the disappointment of becoming attached to a particular property before discovering you can't afford it.