What would you do with this advice- ignore it - and lose the chance to reduce your interest paid to those greedy Banks over a 25 year period - or grab something back for yourself ?
What if all you had to do was to pay half your mortgage bi-weekly (fortnightly to our UK cousins) - and all these benefits would be yours...
Now, doing the math for two weekly commitments might be too much of a hassle for the regular home buyer, but all a fortnightly mortgage is, is actually just your normal mortgage payment cut in half. Every other week, you pay one half of your normal mortgage payment.
Let's say for instance you have a mortgage interest of 8% on your $100,000 home. By doing a two weekly mortgage on this instead of a 30-year loan, you can estimate with a bi-weekly repayment that the amount of your savings can reach up to $48,000. Plus, you can even make 13 full payments and pay off early on your home, so you can gain by paying less interest overall, and over a shorter term. Using a fortnightly mortgage calculator, you can see that bi-weekly payments will cost you $50 each month.
Interesting Facts: You could reduce your overall interest paid by up to 23% by using two weekly repayments
If you don't want the hassle of doing this yourself then contact your local broker, or visit some of the sites given on this page.
The Internet is a smorgasbord of mortgage calculators, including bi-weekly mortgage repayment estimation tools. Below is list of websites that feature two-weekly mortgage rate calculators for free use by their consumers.
The Reduce-My-Mortgage website offers a bi-weekly mortgage calculator that allows you to enter your personal information so you can start calculating your new mortgage payments. Their bi-weekly repayment calculator also helps you determine how much you can save in both time and money.
The site also features an update corner where fortnightly mortgage buyers are told about recent mortgage news. These news like the home loan errors found out by the CLA (Consumer Loan Advocates) helps the consumer realize the importance of using a bi-weekly repayment calculator. In addition to helping you calculate your savings, this fortnightly mortgage rate calculator may also be used on Automobile, Boat, Student, and Business loans.
Vlender.com Bi-Weekly Mortgage Rate Calculator
Virtual Lender is a Turkish website offering solutions such as bi-weekly mortgage rate calculators for either the individual loan officer or the entire mortgage company. Their calculator helps consumers determine the amount and projected period of loan payments.
This website offers a monthly and two weekly mortgage rate calculator to help you determine your payments. The only thing you need to do with the 1 Stop monthly and two-weekly mortgage repayments is enter the principal loan into the field provided. After that, also type in the interest rate and the loan term into the bi-weekly mortgage rate calculator and find out how much your monthly payment will be. Also, this mortgage estimator will also let you know how much you save if you use bi-weekly payments.
DinkyTown.net Bi-Weekly Mortgage Rate Calculator
The two weekly mortgage estimator of this website will show you the possible savings you can make with your type of mortgage loan. Accelerated bi-weekly mortgage payment is the technique used by this fortnightly mortgage rate calculator in order to determine the amount of savings. Bi-weekly payments usually work in only one way. They can accelerate your mortgage pay off by paying half of your normal monthly payment every two weeks. By the end of each year, you can see using a fortnightly mortgage rate calculator that what you have paid for is equivalent to 13 monthly payments instead of 12. This technique used by this fortnightly mortgage calculator can take several years off your mortgage term and also save you thousands of dollars in interest.
So there you have it. The choice is yours...
You can Do Nothing - and what benefits will you get ... NOTHING.
Or you can take easy steps to slash the horrendous amount of interest that you would normally pay over the life of your mortgage, and shorten the term you are paying for it for, and make the poor banks to to be the losers.
Mortgage calculators can be crucial for people who are looking into buying a home. While it is nice to think that people can buy a house without having to deal with a mortgage, most people who buy a home require a loan. The numbers and equations in obtaining a mortgage are enough to confuse anyone. Many people simply talk to their mortgage broker or the lender to try to figure out exactly how much a mortgage will cost them. There is a way to be informed on the mortgage as a first step to making any decisions. By using a mortgage calculator, you can figure your payments and basic costs. There are various calculators which can help you in any number of calculations.
What Calculators are available?
There are calculators available for almost any purpose you can imagine, below is a basic list available for mortgage purposes.
Debt Consolidation Calculator ? Work out the benefits of consolidating your debts.
Cost Calculator ? Work out how much it's going to cost you to buy your house.
Repayment Calculator ? What are your repayments going to be?
Borrowing Calculator ? How much will a lender offer you? This is usually a very general calculator. The only definitive way to assess this is the speak to your lender or mortgage broker.
There are also calculators for car loans, calculating balloon payments, the effect of extra repayment, lump sum repayments and many other purposes.
Know What You Can Afford
The first major benefit of a mortgage calculator is the ability to figure out what you can afford. While many people know what they can afford as far as monthly payments are concerned, they are unsure how interest and everything else plays into the numbers. The mortgage calculator gives you the luxury of playing with the interest rate, amount of deposit, and loan term to figure out what you can afford, and how to arrive at the loan amount that you can afford.
Know What Small Changes Do to your Payment
The next benefit is the simple idea that the mortgage calculator allows you to play with the numbers at will to understand how changes affect your monthly payment. By playing with the different numbers you can figure out the best way to get what you want in a realistic way.
Know your Price Range
When buying a house people often find they are unsure of how much they can afford. How does Interest rate or deposit impact the price they can afford to pay for a house? What is the maximum purchase price? Some people believe they can pay a certain amount, but can actually pay more. Being informed will allow you to buy better and give you an advantage when negotiating with the vendor.
Do Mortgage Calculators have limitations?
Mortgage Calculators are a fantastic resource as a first step to securing a mortgage or buying a house. The simple nature of a calculator is also its greatest limitation; there are many factors to consider in obtaining a mortgage that a calculator does not cover. For example, a calculator does not look into your credit worthiness or the impact a credit default has on the interest rate, or the amount you can afford. It also does not consider or have the ability to work out exact loan costs for your particular situation. Mortgage Calculators should be viewed as a first step asset to obtaining a mortgage, but know they have their limitations.
Summary
When using a mortgage calculator, you can begin to educate yourself on what you can afford the basic costs and the benefits of various loan situations. You can have ready access to online calculators or even computer based calculators without dealing with a lenders sales pitch. Calculators are great as a first step to obtaining a loan or a mortgage, but know the limitations. Where possible make a call to a Mortgage Broker or a lender as the next informed step to obtaining a mortgage. When trying to restructure a mortgage, or to entering into a new one, the mortgage calculator can help you understand what you can do, and what you cannot afford.
Both Geoff Morris & Mr.colin Kidd are contributors for EditorialToday. The above articles have been edited for relevancy and timeliness. All write-ups, reviews, tips and guides published by EditorialToday.com and its partners or affiliates are for informational purposes only. They should not be used for any legal or any other type of advice. We do not endorse any author, contributor, writer or article posted by our team.
Geoff Morris has sinced written about articles on various topics from Real Estate, Investments and Affiliate Programs. Geoff Morris reduced the mortgage on his 15 properties by over 20% across them all by switching to bi-weekly mortgage repayments. For more details visit his. Geoff Morris's top article generates over 40500 views. to your Favourites.
Mr.colin Kidd has sinced written about articles on various topics from Bad Credit Loans, Finances and Investments. Colin Kidd is a specialist in sourcing loans for people and businesses also requiring a . Colin Kidd is the director of Loan Saver Network and has bee. Mr.colin Kidd's top article generates over 5400 views. to your Favourites.