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Mortgage Calculator

Calculate your monthly mortgage payment using our free mortgage calculator. A house is the largest purchase most of us will ever make so it's important to calculate what your mortgage payment will be and how much you can afford.

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Steps to Lower Interest on Your Mortgage

Each Lender has different standards and home loan programs. Be sure to comparison shop, preferably on the same day, for the same loan terms. This will help you discover who is offering the lowest rates. You can also try one or a combination of the options below:

Improve your credit score: For credit scores less than 740, lenders generally add a few percentage points to the interest rate. To raise your credit score, pay off debt and pay all your bills on time before you apply for a mortgage.

Pay points: A discount point, equal to 1 percent of the loan amount, can be used to buy down your interest rate. Generally, paying one point at closing will buy down your rate by about 0.25 percent. This, however, might not be the best use of your cash.

Increase your down payment: Interest rates are also based on your loan-to-value. So, by making a down payment of 20 percent or more, you can lower your interest rate.

Shorten your loan term: Shorter loan terms generally have lower interest rates. However, with a shorter term mortgage, your monthly payments will be higher.

Wait to lock-in your interest rate: Lenders charge a slightly higher interest rate for longer lock-in periods. Ask your lender when to lock in your interest rate. You may want to consider a shorter 30-day period, instead of the standard 60 to 90 day lock-in period.

For mortgage or other financial planning questions, contact Insight Wealth Group at 515-273-1333.