A mortgage payment calculator can be a great way to estimate your monthly mortgage payment. Not only will it show you how much your mortgage payment will be each month, but it will also tell you how much taxes and insurance will be. You can also use a mortgage payment calculator to determine how many extra payments you can make each month to reduce your mortgage payment and pay it off faster.
Calculate your debt-to-income ratio
Your debt-to-income ratio (DTI) is the amount you owe compared to your monthly income. A low DTI indicates that you are a low-risk borrower, while a high DTI means you are a high-risk borrower. To calculate your DTI, add up all your monthly debts, including your mortgage and other regular payments such as homeowners’ insurance and car payments.
Your debt-to-income ratio should be lower than 36 percent. You should also include all non-mortgage …