Educational calculations using your inputs, not offered loan terms or lending decisions. Rates are hypothetical and fees must be entered; results do not guarantee eligibility.
Calculator only, not a quote or offer.
Results are arithmetic on the numbers you enter, not a quote, rate offer, Loan Estimate or commitment to lend. The Freddie Mac figure is its weekly national survey average for 30-year fixed conforming purchase loans (freddiemac.com/pmms), not an Ai Remco rate. APR, points and closing costs are not shown; APR can be higher than the interest rate. Income figures are illustrations, not an approval.
Your numbers
The price you expect to pay for the home. It sets the loan amount and the tax and insurance estimates.
The share of the sale price you pay up front. Minimums: Conventional 3% (many buyers need 5%), FHA 3.5%, VA 0%. Putting less than 20% down usually adds mortgage insurance, which this calculator does not include.
The kind of loan: Conventional, FHA or VA, with a fixed rate for 30, 20, 15 or 10 years, or an adjustable rate (ARM). The payment here uses its term (30 years for an ARM, at the start rate). Jumbo is priced as Conventional in step 2. The choice carries to step 2.
The sale price minus your down payment. Type a loan amount and the down payment % is worked out for you, or change the down payment and the loan amount follows. The payment is calculated on this amount.
Conventional loans need at least 3% down. Lower the loan amount.
Estimates used for taxes and insurance (change them to the real figures)
Yearly property tax as a percentage of the sale price. New Jersey taxes vary widely by town, so use the actual tax bill if you have it.
Yearly homeowners insurance premium as a percentage of the sale price. Your actual insurance quote may be different.
Payments and income needed at five rates
The lowest interest rate you want to compare. We show the payment at five rates spread evenly from low to high. These are rates you choose, not rates offered to you.
The highest interest rate you want to compare. We show the payment at five rates spread evenly from low to high.
What you pay every month on debts that show on your credit report: car loans, student loans, minimum credit card payments, and court-ordered payments such as child support. Do not include your current rent (the new mortgage payment replaces it), utilities, phone or groceries. A car or other installment loan with 10 or fewer payments left can usually be left out; a car lease always counts, however many payments are left. FHA loans add a limit on leaving debts out.
Enter a sale price, a down payment and a low and high rate.
Taxes and insurance are estimates (2% property tax and 0.35% insurance a year, of the sale price). Mortgage insurance, flood insurance and HOA dues are not included. Income needed = (total payment + your monthly recurring expenses) ÷ the target DTI.