Millennials can prop up the mortgage market with this useful website
In most schools and universities, personal finance is not a required subject, hence this lack of basic financial knowledge affects how young adults manage their own money and getting stay out of unnecessary debt. As the millennials ease into early to middle age adults, they’re now finding their own ways out of their parents’ houses — and this could be hard without enough knowledge of financial management, home mortgage, and interest deduction for this matter.
In an interview of CNBC Make It with Realtor.com’s senior economist George Ratiu, most millennials are now on their first or second jobs, and many of those are starting to build their own families, hence their preferences have shifted. One of these major target milestones is buying their own homes. While millennials are even more interested in buying homes compared to older generations, some factors are slowing down the purchase opportunities caused by financial challenges of the higher cost of living, education, and housing.
Let’s face it: A little back-of-the-envelope math won’t cut it when you’re trying to buy a house. It is a major financial commitment and a complicated process that requires a good amount of research. More than finding a good neighborhood, we have to know first about mortgage management. Luckily, I just found online mortgage tools and calculators to help young millennials like me make smart decisions about buying a home. After all, having a basic knowledge of how things work, especially about “adulting” stuff, is a must-have.
Mortgage Calculators, offers a wide range of tools from mortgages, money-saving calculators, home loan options, and real estate investors and property sellers. As a young adult, who has been working for almost 4 years and now considering buying their own place, this website is beyond useful. Its tools help me estimate my monthly mortgage payments based on the purchase price, down payment, interest rate, and other monthly homeowner expenses — basically a one-stop online mortgage calculator for a newbie like me.
More than its effectiveness and reliability, what I like most about Mortage Calculators is its user-friendly interface that enables us, young adults, to understand mortgage payment scenarios, data, and processes. Depending on your unique needs, you can choose from a wide variety of calculators. I listed down below some of the most beneficial calculators for young adults like me.
Rent & Buy Calculator
While most of the young to middle-age adults prefer to buy their own homes, there are still some of them who opt to rent their own places — and that’s okay. Either way, they can seek help before making decisions before purchasing or renting a home. Luckily, users can choose between the basic and advanced calculators depending on their needs and financial scenarios.
- Basic: Use this tool to see how much home you can afford to buy while paying a monthly payment equivalent to your current rental payment. Use this tool if you know you will live in the home for an extended period of time and have no intent to sell it anytime soon & just want to see what will match your current rental spending.
- Advanced: This tool has many more features which enable people to compare the longer term impact of inflation, real estate appreciation & real estate transaction costs when determining which option better suits their needs. Use this tool if you think you are likely to sell the home in a few years
Monthly Mortgage Payment Amount Calculator
This is a basic calculator that can help you figure your monthly principal and interest payments for a given monthly loan in just minutes. Just enter the home value, your down payment amount, the type of mortgage, and the interest rate.
Advanced Mortgage Calculator
Meanwhile, for those who want to find out FULL actual mortgage cost including HOA fees, PMI, property taxes, homeowner’s insurance & routine maintenance expenses, this calculator is perfect for you. In fact, you can even roll any loan origination or discount points into the loan.
It has loan breakdown graphs, loan summary, private mortgage insurance, monthly and annual amortization tables.
Minimum Income Requirement
This is one of the most helpful calculators for me as it helps me assess my financial status and the capacity to buy a house. Some of the first time homeowners tend to neglect their financial assessments before purchasing a property, hence resulting in bad investment choices in the future. That’s why it is important to know the estimate of your current financial capacity.
You can visit Mortgage Calculators and discover the perfect calculator for you. Let websites like this help you through these difficult times. Be prepared and smart!
