Mortgage Help

Calculator estimates only. Keldrovia is a real estate brokerage and does not originate mortgage loans. Loan approval, rates, terms, fees, and program availability are determined by the lender. Comparing Loan Estimates from multiple lenders can help buyers choose the loan that best fits their needs.

Down Payment

A 20% down payment is a common benchmark, but it is not required for every loan. Some conventional mortgage programs allow down payments as low as 3%, and FHA loans can allow as little as 3.5% down for qualified borrowers. In general, a larger down payment reduces the amount you borrow and can lower your monthly payment and total borrowing costs. If you put down less than 20%, mortgage insurance is often required, which can increase your monthly payment.

Loan Term

Your loan term is the length of time you have to repay the mortgage. Common terms include 15 years and 30 years. A shorter term usually means a higher monthly payment but less total interest paid over the life of the loan, while a longer term usually means a lower monthly payment but more total interest over time.

Loan Type

Mortgages are often described by loan type, loan term, and interest rate type. Two common interest rate types are fixed-rate and adjustable-rate mortgages. With a fixed-rate mortgage, the interest rate stays the same for the life of the loan, which makes monthly principal and interest payments more predictable. With an adjustable-rate mortgage, the rate can go up or down after an initial fixed period, so future payments may change.

Interest Rate

Use this field as an estimate. Your actual interest rate will vary based on factors such as your credit profile, down payment, loan term, loan type, discount points or lender credits, and market conditions. Shopping multiple lenders and comparing Loan Estimates can help you see which loan offers the best overall value.

Property Tax Rate

Property taxes are usually part of the total monthly housing payment, along with principal, interest, and homeowners insurance. In many cases, lenders collect money for property taxes through an escrow account as part of the monthly payment. Because tax amounts can change, this figure should be treated as an estimate.

Home Insurance

Homeowners insurance protects against certain types of property damage and is generally required by lenders as a condition of the loan. Many borrowers pay for homeowners insurance through an escrow account as part of their monthly mortgage payment. Insurance costs vary by property, location, coverage, and insurer, so this amount should also be treated as an estimate.

HOA Fees

Some homes, condos, and townhomes have homeowners association dues. HOA fees are typically separate from property taxes, and in many communities they are not included in the mortgage payment unless they are escrowed. When a property has HOA dues, those fees should be included in your monthly housing budget because they add to your total cost of ownership.