Best Mortgage Calculator
- Conv
- FHA
- VA
- Jum/Non
- USDA
Gustan Cho Associates Mortgage Calculator Powered By Gustan Cho Associates
Gustan Cho Associates, powered by Gustan Cho Associates has launched its very own Online Mortgage Calculator. After years of struggling to find a user-friendly online calculator, the team at Gustan Cho Associates did not find a multi-purpose online mortgage calculator that had accurate new housing payments.
The GCAs Mortgage Calculator powered by Gustan Cho Associates will compute the principal and interest payments as well as the property tax, homeowners insurance, HOA, mortgage insurance premium, or private mortgage insurance all within seconds upon entering the data.
Why Use GCAs Mortgage Calculator Versus The Competition?
Most online mortgage calculators only gave partial numbers and not the overall total housing payment. We will discuss and cover why the Best Mortgage Calculator powered by Gustan Cho Associates is the best of the best online mortgage calculator. The Best Mortgage Calculator powered by Gustan Cho Associates has been created, designed, tested, and launched by veteran mortgage loan originator Alex Carlucci and computer engineer Monica Cho, both senior tenured members of Gustan Cho Associates
Who Uses The Best Mortgage Calculator
The Best Mortgage Calculator designed by Alex Carlucci and powered by Gustan Cho Associates is hands down the best mortgage calculator used by mortgage borrowers, loan officers, and realtors. There are thousands of so-called Best Mortgage Calculators in the marketplace. However, no other online best mortgage calculator comes close to GCAs Best Mortgage Calculator like the Best Mortgage Calculator powered by Gustan Cho Associates
How To Use The Best Mortgage Calculator
The best mortgage calculator is simple to use. You do not need to be a licensed mortgage loan originator to compute your total housing payment. You no longer need to contact your loan officer to compute your debt-to-income ratio. You will be able to compute your housing payment using the best mortgage calculator on FHA, VA, USDA, Conventional, Jumbo, and Non-QM loans. You will also be able to calculate your debt-to-income ratio using the Best DTI Mortgage Calculator powered by Gustan Cho Associates, Inc. GCAs Mortgage Calculator can be used for both home purchase and refinance transactions.
What Is Included In Your Mortgage Payments?
Let’s first analyze what exactly is included in your mortgage payments. Have you ever made your monthly mortgage payment and wondered what is included in that payment? How about if you are thinking of purchasing a home and want to know what is all rolled into that monthly payment?
PITI- Mortgage Payment
Think of your mortgage payment like a pie. There’s Principal, Interest, Taxes, and Insurance-A PITI pie. Each piece of the pie needs to be paid and rolled into your monthly mortgage payment to keep it simple and ensure it’s all kept paid. The exception to this is if it’s an interest-only loan.
The P of the PITI: Principal
This is part of your payment for the actual home property you purchased. As you pay this down, you build equity in your home which will mean you have ownership of the property.
The I of the PITI: Interest
The dreaded interest! This is what it costs you to have borrowed money from the bank for the home. This is when you first bought the house and negotiated for a lower interest rate, if possible. Usually, if you have better credit, larger down payments, and other compensating factors, you may be able to get a lower interest rate. You also might consider only having a fixed-rate mortgage and not an adjustable-rate mortgage so that you can ensure you know exactly what your mortgage payment will be each month.
The T of the PITI: Property Tax
Also despised is the tax portion! This payment to the local government is calculated from the assessed property value and tax rate. Even if you bought your house with cash, you still have to pay taxes. It’s helpful to have these escrowed into your mortgage payments because although it increases your monthly payment, you will not get hit with a large tax bill each year.
The I of the PITI: Homeowners Insurance
This protects the lender and the buyer from any potential issues that arise. This is homeowners and hazard insurance. You must have insurance to purchase the home, and although it may seem like an unnecessary expense, it is really for the homeowners’ benefit.
Other Portions of Your Mortgage Payment Besides PITI
Mortgage Insurance is required on government and conventional loans. The amount of the mortgage insurance premium depends on the mortgage loan program. In the next sections of the guide on using the best mortgage calculator powered by Gustan Cho Associates we will cover mortgage insurance on the various loan programs so our viewers and clients have a better understanding of how PMI and MIP work.
Private Mortgage Insurance on Conventional Loans
Conventional loans do not require private mortgage insurance on home loans with at least a 20% down payment or 80% loan-to-value or lower on refinance transactions. If your down payment on the home was less than 20% on conventional loans, you would need Private Mortgage Insurance, commonly referred to as PMI. Private mortgage insurance protects the mortgage lender in case homeowners default on the loan payments. Private mortgage insurance is an annual premium but is amortized over 12 months and factored into your monthly payments.
FHA Mortgage Insurance Premium
HUD, the parent of FHA, has two different types of FHA mortgage insurance premiums. There is a one-time FHA MIP of 1.75% and an annual 0.85% mortgage insurance premium for the term of the 30-year fixed-rate FHA mortgage loan.
Mortgage Insurance Premium on VA Home Loans
VA loans have a one-time VA funding fee. The funding fee on VA loans. Dale Elenteny, a senior mortgage loan originator and the top loan officer of VA loans at Gustan Cho Associates Dale explains what is the funding fee for a VA loan as follows:
The VA funding fee is a one-time fee paid to the Department of Veterans Affairs that supports the VA home loan program. Veterans who put down less than 5% on their home purchase will pay 2.3% of the total loan amount when buying a home for the first time and 3.6% on subsequent loans.
USDA Loans Mortgage Insurance Premium
USDA loans are one of three government-backed home mortgage loan programs. USDA loans, as with VA and FHA home loans, are for owner-occupant primary homes only. Our senior mortgage loan originator and one of the top producing senior loan officers of USDA loans explains the upfront USDA guarantee fee and the annual USDA loan annual mortgage insurance premium of 0.35%.
The USDA Loan fees for FY 2022 are an upfront guarantee fee of 1.0% of the loan amount and an annual fee of 0.35% of the loan amount. These fees apply to both home purchases and refinance transactions during the 2022 fiscal year, which runs October 1, 2021, through September 30, 2022.
HOA Fees: Homeowners Association Dues
Homeowners Association Fees are fees charged to maintain the property and facilities that homeowners share. Although this is not typically included in your monthly mortgage payments, it is an additional fee you will need to cough up each month. The HOA gets a bad rap, but in all honesty, they keep the neighborhood looking great and ensure that your neighbors do not have a literal junkyard out front.
Total Monthly Housing Payment
So now we know that each monthly payment also covers a portion of these bills. If you prefer not to have them included in your monthly price and only pay the principal and taxes each month, you will need to save your money so that when it is time to pay your insurance premiums and tax bills, you have that available.
Because of the way mortgages are set up, most interest is paid in the early payments. Through the years, as you pay, more of your monthly payments will go to the principal, which is how you build equity in your home. To help combat this, some homeowners will make biweekly mortgage payments, which is a way to start paying the principal sooner.
Instructions on Calculating Principal and Interest Mortgage Payment
There are various components of GCAs Best Mortgage Calculator. We will walk you through step-by-step instructions on the various stages and breakdowns of your housing payment. In this section, we will show you how to get the principal and interest payment of your mortgage payment by following the following steps.
- The first step if your buying a home is to enter the home purchase price under the box that asks for the home price.
- If you are refinancing your home, enter the estimated or appraised value of your home in the box that states the home price.
- The next step is to enter the down payment on the down payment box if you are buying a home.
- The down payment on a home purchase is the cash you are paying upfront on your home purchase.
- If you are a homeowner refinancing a home, please enter the amount of equity you have in your home in the down payment box.
- The equity of your home is the market value of your home less what you owe.
- Enter the rate on the box that asks for the rate.
- You can estimate the mortgage rate or ask your loan officer what your estimated rate will be on the loan program based on your credit score, and other income/credit profile.
- Enter the term of the loan in the box that asks for loan term: Choose the term of 30 years, 20 years, or 15 years by adjusting the top or bottom arrow to adjust the length of the mortgage terms in years.
You will not get the principal and interest portion of your housing payment.
How To Calculate Your Monthly Housing Payment With Taxes, Insurance, and HOA Dues
In this section, we will walk you through calculating your overall monthly payment with property taxes, homeowners insurance, and homeowners association fees. After you have got the subtotal of the principal and interest payment of your housing payment, continue to the next few steps:
- Enter your yearly property tax information in the box that asks for property tax: Enter the annual amount of property tax of the subject property.
- Next, enter your annual homeowner’s insurance premium (hazard insurance).
- Enter your homeowner’s insurance association dues if applicable (monthly).
- The private mortgage insurance will auto-populate when you check the loan program you are applying for.
Contact Us at Gustan Cho Associates
Once you have completed all the fields required, you will not have the breakdown of your monthly housing payment and an accurate estimated monthly housing payment consisting of your principal and interest, property tax, homeowners insurance, HOA, and PMI or MIP. The best mortgage calculator powered by Gustan Cho Associates is the best mortgage calculator in today’s marketplace. 100% of our viewers who try GCAs Mortgage Calculator love it and use it as their online mortgage calculator of choice.
If you have any questions about whether to use our best mortgage calculator powered by Gustan Cho Associates or about any of our loan programs, please do not hesitate to contact us at 262-716-8151 or text us for a faster response. The team at Gustan Cho Associates is available 7 days a week, evenings, weekends, and holidays.
