Step 1: Enter the Home Price

Example: $500,000

Step 2: Choose Your Loan Type & Down Payment

Conventional Loan

• First-time homebuyers: 3% down Min.

• All other buyers: 5% down or more Min.

Step 3: Select Loan Term

• 30 years (most common option)

Step 4: Enter Your Interest Rate

• Use the National Average Rate shown in the chart above

• Your actual rate may vary based on credit, loan type, and market conditions

Step 5: Estimate Property Taxes & Insurance

• Property Taxes (California):

• Estimate 1.25% of the purchase price annually- Example: $6,250 per year on a $500,000 home

• Homeowners Insurance:

  • If not in a fire-risk area, estimate $1,000 – $1,600 per year-Rural or high-risk areas may be higher

Step 6: Add Mortgage Insurance (If Required)

Conventional Loan

• Mortgage insurance (PMI) applies if putting less than 20% down

• PMI varies based on credit score and down payment amount. Use Grid above. Based on credit score and down payment.Example 5% down is 95% loan to value. You are getting 95% of the value in a loan and only 5% equity/down payment.

Important Note

Mortgage calculators are a great planning tool, but they don’t replace a full loan review. Final payments and qualification depend on your credit, income, debts, loan program, and the specific property.

If you’d like help reviewing real numbers or building a home-buying plan, I’m happy to walk through it with you and make sure you’re set up the right way.