California Mortgage & Home Loan Rates Online
So do you know how
much house you can afford? A quick and easy way to find out how much
house you can afford is to use our California mortgage calculators to find out your
power and determine how much you can afford to pay each month. By determining
your house affordability you can save time by allowing you to focus
on homes in your specific price range.
Before purchasing a home you should consider both the upfront costs such
as down payment and closing costs, to the costs for the duration of the
loan such as maintenance and insurance.
Upfront costs and considerations:
- Down payment costs
are from 3-30% of the cost of the house.
- The more you can
put down, the more equity you will have in your home and the lower your
monthly payment will be.
- Your monthly mortgage
payment will vary depending on how much you put down.
- Closing costs and
fees. Typically closing costs run from 2-6% of the loan amount depending
on your area.
Duration of the
loan costs and considerations:
- Homeowners insurance.
- Yearly property
- Monthly utilities.
- Maintenance on
home and appliances.
- Grounds and pool
upkeep and maintenance.
A common myth
is that monthly mortgage payments are more expensive than rent. But, in
many cases, mortgage payments can be less than rent. When considering
home ownership for the first time, you need to decide whether buying makes
financial and practical sense for you right now or if you are better off
renting. Consider both the advantages and disadvantages to renting as
well as buying, and weigh the pros and cons for your particular situation.
Keep in mind however, that buying a home offers many advantages, one of
the reason is it allows you to build up home equity when you pay your
mortgage each month.