Mortgage Calculator for Financing Your New Home One of the most important considerations when buying, or building a new home, is “How much is this going to cost?” and “Can I afford it?” The following Mortgage Calculator for financing your new home will allow you to find out how much your monthly payment will be.
Input:
(do not include any $ signs, or commas; please add decimal sign for interest rate; change amounts as needed)		 Results:
Loan Amount
Loan Length Monthly Principal + Interest
Interest Rate Monthly Tax
Annual Tax Monthly Insurance
Annual Insurance
Total Payment
Please note: to calculate the amount to put in the “annual Tax” field, go to the following link:
http://www.michigan.gov/taxes/0,1607,7-238-43535_43540---,00.html
Please note: all computations are intended to be estimates and, in no way, reflect the actual payment or tax liability. Consult local governing authority for actual millage rate at time of purchase.
HOW MUCH HOUSE CAN YOU AFFORD?
Lenders, on average, will approve your house payment to be approximately 28% of your gross monthly income (income before taxes)
Annual
Gross
Income
Monthly
Gross
Income
28% of Gross
Income = Monthly Loan Payment Amount
$30,000
$2,500
$700
$35,000
$2,917
$817
$40,000
$3,333
$933
$45,000
$3,750
$1,050
$50,000
$4,167
$1,167
$60,000
$5,000
$1,400
$70,000
$5,833
$1,633
$80,000
$6,667
$1,867
$90,000
$7,500
$2,100
$100,000
$8,333
$2,333
$110,000
$9,166
$2,566
$120,000
$10,000
$2,800
Helpful Hints When Working with Your Mortgage Lender
for a Successful Closing
  • When shopping for a new lender, always ask for a “good faith estimate” commonly called a “GFE” of all closing costs up front. You can use this when comparing lender closing fees.
  • When comparing interest rates, make sure you also compare the APR rate. This combines the interest rate they are offering you for your loan with the fees they are charging you for the loan. Although a company may be offering a lower rate, they could be charging you higher fees at the closing.
  • Always compare your lender with one of the builder recommended lenders. Most times they can match, or beat, the rates and fees of other lenders. But more importantly, their service, information, accuracy and integrity will be top notch.
  • A mortgage approval letter is required to be supplied to our sales office within 30 days of an accepted purchase agreement.
  • Supply the lender with a copy of the purchase agreement.
  • Supply the lender with copies of all deposit checks given to the builder during the course of construction. They will need these to process your loan.
  • Supply the lender with copies of work orders as they are signed. This will keep them updated on the sales price for the new home. This is not something easily changed when it is time to close on the mortgage.
  • At the time that the home is dry walled, you should contact your lender to let them know that the home is nearing completion and to see if they need any updated information from you to complete your new loan.
  • It is your responsibility to make sure that your lender has your new loan completed and ready to close when the new home is completed. Regular updates with information from you will help make this process go smoothly.
  • A copy of your new home owners insurance policy with a paid receipt will be required by your lender, either one to two weeks prior to closing or on the closing date. Shop around for pricing in advance, as the insurance company may take up to two weeks to process a new policy.
  • Final closing numbers are typically given to you by your lender only 24 - 48 hours prior to the actual closing date. The closing fees your lender charges you are kept privately between you and your lender. The builder’s office will not have access to or knowledge of those fees.
For sales information from our quality Michigan new home builder,
please contact our sales office at sales@nicholashomes.com