Helpful tip… before you begin looking at homes, have a solid idea of what your max price point is going to be by determining what your monthly mortgage will look like. Use this advance mortgage calculator to do so. It also has cool features to show you how your balance, principal, & interest all change over the life of the mortgage. See the monthly payment before PITI (Principal, Interest, Taxes, Insurance) and have a good idea of what your total monthly mortgage payment will be.
Understanding your property tax and how it is calculated can also add a major change to your monthly mortgage as well- depending on where you live. Property taxes are calculated by the Assessment Rate which is determined from the Assessed Value of the home. The Assessed Value of the home is usually not the same as the Fair Market Value or the Appraised Value of the home- and many times, not even close. The Assessed Value is determined by the local county property tax assessor and the Appraised Value is going to be determined by an official appraiser that you’re lender will hire to assess the value of the property for your loan. Many times you can search and find this information yourself, or simply ask an agent to get it for you. Lenders can also help give you a clear picture of what this will look like. This spreadsheet is just for personal use to get an idea ahead of time.
Be sure to try the Extra Payment field to see how much money you’d save in interest over time. Look at the Summary box which will show you how much interest you save when you add extra payments every month to your principal. Even $100 a month added to principal can make a big difference!
Watch the video to see how to use the spreadsheet. It’s kind of boring (hard to make mortgage calculators fun) but hopefully helpful! Spreadsheet download link below.
DOWNLOAD LINK HERE
Get the Advanced Mortgage Calculator here with Google Sheets! Once it opens in a new window, go to “File” at the top left and then “Make a Copy” to copy it to your Google Drive. You can then modify it however you want.
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