1. What is a Mortgage Calculator?

A mortgage calculator helps you estimate your monthly payments and total costs for a home loan. This version includes a start date field (though time is ignored in calculations) which can be useful for planning purposes.

2. How Does the Calculator Work?

The calculator uses the standard mortgage formula:

Where:

• \( M \) — Monthly mortgage payment
• \( P \) — Principal loan amount
• \( r \) — Monthly interest rate (annual rate ÷ 12)
• \( n \) — Number of payments (loan term in months)

3. Importance of Start Date

Details: While the time portion is ignored, the start date helps you track when payments will begin and plan your finances accordingly.

4. Using the Calculator

Tips: Enter the loan amount, interest rate, loan term (in years or months), and select a start date. All values must be positive numbers.

5. Frequently Asked Questions (FAQ)

Q1: Why is time ignored in the calculation?
A: Mortgage payments are typically calculated based on the date only, with payments due on the same day each month regardless of time.

Q2: Does this include taxes and insurance?
A: No, this calculates principal and interest only. Your actual payment may include escrow for taxes and insurance.

Q3: How accurate is this calculator?
A: It provides a good estimate but your actual payment may vary slightly due to rounding methods used by lenders.

Q4: Can I calculate bi-weekly payments?
A: This calculator shows monthly payments only. Divide by two for approximate bi-weekly amounts.

Q5: What if I want to include extra payments?
A: This is a basic calculator that doesn't account for extra payments or payment frequency variations.