Finding the Best Mortgage Calculator: A Beginner’s Guide

Mortgage Calculators

Mortgage calculators are crucial instruments in the real estate process. Having an accurate and efficient mortgage calculator is key to making your real estate dreams come true. These important tools help users calculate what the financial ramifications of their agreements for mortgage financing will be.

What Are the Best Mortgage Calculators per Continent? 

It can be stressful finding the perfect mortgage calculator to suit your needs. Thankfully, we are providing you with the best option on each continent. Find the best mortgage calculator in the United States, Europe, Asia, Australia, and the best free mortgage calculator below.

Best Mortgage Calculator USA: Zillow Mortgage Calculator

Mortgage Calculator in USA

Best Mortgage Calculator Europe: The European Mortgage Calculator

Mortgage Calculator in Europe

Best Mortgage Calculator Australia: Moneysmart Mortgage Calculator

Mortgage Calculator in Australia

Best Mortgage Calculator Asia: Bank of East Asia Mortgage Calculator

Mortgage Calculator in Asia

Best Free Mortgage Calculator: Bankrate Mortgage Calculator

Best Free Mortgage Calculator

How do I Quickly Calculate a Mortgage?

In order to finance a portion of the purchase price of a new house, most people utilize a mortgage. Changes to the five most important variables in a mortgage transaction were calculated using compound interest rate tables before mortgage calculators became widely available. Completing the calculations in these tables necessitated some familiarity with the concept of compound interest. Mortgage calculators, on the other hand, make information on the effects of varying mortgage factors readily available to anybody.

You can use a Mortgage Calculator For…

An online mortgage calculator can help a potential borrower determine how much real estate he or she can afford. As part of the lending process, lenders will take into account a person’s entire monthly income and debt burden. With the aid of a mortgage calculator, you can see how much money you have coming in and how much you owe each month. The cost of a future mortgage and other related housing expenses should also be considered (property taxes, homeownership dues, etc.). Loans of various quantities and interest rates can be tried out. It is generally considered bad practice for a borrower’s loan payments (including property expenditures) to surpass 40 percent of their monthly pre-tax income. Some lenders have been known to enable borrowers to put as much as 55% down.

Let’s see an example

In this case, the monthly payment would be $1,500 for property insurance, $3,000 for property taxes, and 0.5 percent for private mortgage insurance if the loan is paid back over 30 years at a 7 percent annual interest rate. The correct answer is $2,142.42. 

What is the Average Mortgage Length?

In most cases, the length of time you have to pay off your mortgage is stipulated in your loan agreement. The word “mortgage” refers to this. In the United States, the most frequent mortgage length is 30 years. Globally, they tend to be a little bit shorter, around the 25-year mark. 

The typical 30-year repayment period for borrowers with this sort of mortgage is much shorter. As a matter of fact, the normal mortgage term is less than ten years. The reason isn’t that these borrowers pay the loan back in record speed; it’s because they do. Prior to the end of their terms, homeowners are more likely to either refinance or buy a new property. Home Buyers plan to live in their new residence for a median of 15 years, according to the National Association of Realtors (NAR).

As a result, why is the 30-year option the most popular in the United States? A number of factors. These include current mortgage rates, the monthly payment, the type of property being purchased, or a borrower’s financial goals.

What About PMI, Interest, and Taxes?


Depending on the loan-to-value (LTV) ratio, lenders may mandate private mortgage insurance (PMI). Whenever you get a mortgage, you’re taking a certain amount of risk on your own shoulders. Some mortgages, however, may benefit from PMI, which can reduce their risk.

PMI, despite the fact that you pay for it as a borrower, doesn’t protect you. Instead, the lender is protected. Even if you miss a payment, PMI will cover a portion of the outstanding loan debt.

In addition, PMI provides a number of advantages to you, the borrower. You may be able to get a conventional loan if you pay PMI, even if you wouldn’t otherwise qualify.

Ask your lender for your PMI % or use the range below to figure out your PMI. Then, take the following steps:

  • Determine the property’s worth. Accurate figures may be obtained from a recent assessment, while estimates can be made by utilizing the price you want to offer for the property.
  • Make sure you know how much money you’ve borrowed. Starting with your present mortgage balance, calculate the amount of PMI you’ll have to pay if you decide to refinance. Subtract your down payment from the home price when applying for a new mortgage.
  • Figure out how much money you’ll be able to get back. The amount of the loan divided by the value of the property is what you need to do. The proportion is then multiplied by 100. A score of 80 percent or below implies you’ll have to pay no PMI, while a score of 80 or more means you’ll have to pay it. If the percentage is greater than 80%, go to the next stage.
  • Decide how much you’ll pay in PMI premiums each year. PMI may be calculated by multiplying your lender’s percentage of PMI by the entire loan amount. For those who don’t know their percentage, use the typical range to estimate. Use 0.22 percent for the low end and 2.25 percent for the high end of the range to find out. Your yearly premium is the outcome. To get an idea of how much you’ll pay each month, multiply the total by 12.


Monthly payments divided by expected monthly payments yield the total interest you’ll pay over the course of the loan. These figures will show you how much interest and principal you’ll pay during the term of your loan, indicated as C is equal to N multiplied by M.


Taxes imposed by the county and district are a condition of owning property. You can use our property tax calculator to find the average effective tax rate in your region by entering your zip code or town name.

State and even county property tax rates might be drastically different. When it comes to effective property tax rates, New Jersey has the highest average effective rate in the US at 2.42 percent. Property taxes in Wyoming, on the other hand, are just about 0.57 percent, making it one of the states with the lowest effective tax rates nationwide.

Property taxes are often determined as a percentage of the value of your home and are invoiced to you once a year. This might vary by state, county, and municipality. Your house could be appraised every year in certain regions or every five years in others. Road repairs and maintenance, school district budgets, and county general services are all covered by these levies.

For a mortgage, do they look at your NET or GROSS income?

Mortgage lenders typically look at gross income, not net income. Mortgage lenders calculate your mortgage eligibility based on how much money you make before you take any tax deductions or pay taxes.

Best Android Financial Calculator for a Home Loan?

In a short time, the Mortgage Calculator App has been gaining a lot of traction. The program does exactly what it says it will. Customize the UI by selecting from a variety of themes and colors.  

You may import loan information from an email into the Mortgage Calculator app, and you can also enter payment information. A particularly useful perk is that you can save amortization as a PDF and print it out. 


  • Assistive technology makes use easy
  • Fast
  • Allows the addition of payment information


  • The placement of ads is unfortunate


Get an idea of how much your monthly mortgage payment will be by using a Mortgage Calculator. Input alternative property prices, down payments, loan terms, and interest rates into the calculator to see how your monthly payment will vary as a result.

The principal, interest, property taxes, and homeowners insurance are all included in monthly payment estimates. If you’d like a more specific estimate of your payment, you may include advanced choices like a credit score range, ZIP code, and HOA fees in your calculations. A better understanding of what your monthly mortgage payments would be can provide you with greater assurance when it comes time to make an offer on a house.