MORTGAGE CALCULATOR


Asheville Mortgage Calculator

Purchase Price

(Accepted offer price)

Down Payment

(no PMI with 20% or more down payment)

Mortgage Term in years

(Make sure your lender offers 30 year fixed rates – some Credit Unions do not)

The Annual Percentage Rate

(4.14% (6/27/14) ~ “that’s low!”)

Property Tax Per Year

(Value of Home (determined by city – click here to find home value by address) Divided By $100 and Multiplied By 1.21 (2013 – city rate))

Property Insurance

(average between $500 – $700 per year)

Monthly PMI

(Private Mortgage Insurance – held by lender in case of default (you have made a down payment less than 20% of sales price)) = average $55 per month for every $100,000 financed

Primary Loan Types:

Conventional Loans (not backed by government agency, lender bares all risk within loan-to-value ratio 80%/20%)
Conforming Loans (generally the borrower must provide 5% down (even when a family member or other party contributes more) and pay PMI (private mortgage insurance))
Nonconforming Loans (including Jumbo Loans made to borrowers who cannot meet the qualification requirements for conforming loans)

Secondary Mortgage Market:

Fannie Mae (Federally owned, conventional, FHA, VA loans)
Ginnie Mae (A Division of HUD, a corporation without capital stock, FHA and VA mortgage loans)
Freddie Mac (Government Owned, primarily conventional loans originated by savings associations)
Calculation for qualifying for a mortgage loan = All Bills divided by 0.36

Qualifying For A Loan:

To get a general idea of what amount of mortgage loan you can afford to pay per month,  and add all your monthly bills together including your estimated mortgage and divide them by your gross (total) monthly income.  The end figure can not be more than 36%.   This is close to the method used by lenders to see if you qualify for a mortgage and for how much.

All Monthly Bills, INCLUDING MORTGAGE, divided by 0.36 = Qualified Loan Amount

Tax Rates:

Tax rates are determined by the city and/or county assessed values of the home. 100% of assessed value is divided by 100 and multiplied by the tax rate(s). Here are the current tax rates for Asheville and surrounding areas. Asheville City and County Tax Rates