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Kristina Said:

Excel: Calculating yearly rising property taxes and insurance premiums for mortgage?

We Answered:

homeinsurance.awardspace.us - try this one. Got my home insurance from them. As I know they provide such a service.

Monica Said:

When calculating a cap rate, do you figure insurance?

We Answered:

Cap rate has nothing to do with insurance. The capitalization rate is the rate that is assumed for that given area. It depends on the area, location of the property and types of property. It has to do more with the prices that other buildings are getting in the area. You are safe to use a 8-10% cap rate (keyword: safe) but it depends on the area that you live in. Now when you get the net income and divide that by the cap rate to get the value, you will have to take into consideration the insurance for the net income. It is a part of the expenses and will have to be deducted to get the net income.

Jesus Said:

A mortgage question about calculating the total payment.?

We Answered:

There are several factors in determining your mortgage payments.

1. Insurance (check with an agent)
2. Property tax (if you are working with a broker, he or she will get this information for you. Some counties have this information available on the Internet)

For these amounts you take the annual amount and divide by 12.

To determine the loan portion of your monthly mortgage payment, you need to know:

1. Interest rate
2. purchase price
3. down payment
4. length of mortgage (most common is 30 years)

You can use the mortgage calculator at http://www.bankrate.com/calculators/mort… to get an answer.

Call a few mortgage companies/banks in your area and ask to be pre-qualified. You will need to provide your previous tax returns (it depends on how long you've been working and how stable your income is as to how many years), a recent pay stub, your social security number (the mortgage company will run a credit report).

You get the best mortgage terms if you put down at least 20% of the purchase price. If you buy a home for $100,000 the down payment should be $20,000 and you will need to pay your closing costs (these vary based on city/county/state). Also at closing you may have to pay the seller for any property taxes that have been paid, but are for time that you will be the owner.

My mortgage payment (taxes and the loan payment only, I pay the insurance separately) is $1,982 a month on a mortgage that started at $312,000 so I think $1,800 for a $240,000 mortgage sounds high.

I hope this helps.
Gary

Joy Said:

Calculating mortgage payments?

We Answered:

You are figuring it incorrect. The interest that is. The interest is 6% a year. That doesnt add to your principal you pay 6% every year for the current balance.

Example you borrow 1,000 dollars at 6% that is 60 bucks a year (simple interest) not 60 dollars divided over the life of the loan you will still pay 60 dollars the next year. Well maybe 58 since you paid some interest.

You pay interest every single day. So you need to take 6% and divide it by 356 days. Thats is you daily interest until you pay your loan off.

I ran an amortization schedule. If you take a loan out for 103,455 with a 6% fixed. Your payment will be $620.26. Over 30 years you will pay $119,843 in interest over your loan plus your principal of $103,455. Meaning over 30 years you paid 223,298 at your 6% fixed. They way you calculated it was a 6% one time fee divided by 30 years. That is technically a 0.2% interest rate. Remember its not 6% upfront its 6% a year.

Its actually not bad. You can add money to that 620 payment per month that will pay your home off faster.

http://www.bankrate.com/brm/mortgage-cal…

Here is a site that will calculate your payment.

Good Luck and I hope I answered your question. And I agree with the other your HO insurnace sounds really cheap.

Ashley Said:

How is hazard insurance calculated?

We Answered:

"Mortgage hazard insurance"? Do you mean homeowner's insurance? PMI?