What Are The Mortgage

Simulators mortgages, also called mortgage calculators are tools that can simulate mortgages. Depending on your interface, you can distinguish three types of simulators mortgages: office applications, standalone applications (standalone) and web applications on-line, while according to its functionality can be classified into three groups: mortgage fee simulators, simulators and mortgage costs simulators maximum mortgage.

Mortgage calculator

To buy a home is usually used to mortgage loans where the collateral is the home purchased. Hire a mortgage is an important decision for the family finances, so it is advisable to perform a simulation of the loan to calculate the monthly payment and APR.

To do this we use mortgage simulators, software tools to simulate mortgage calculating monthly mortgage, the costs, the APR of the loan and the amortization table.

Types of mortgages simulators as its interface

The simulators are computer applications mortgage and depending on your interface, you can distinguish three types of simulators of mortgages:

Office applications: spreadsheets are usually where the user simply fill in the fields provided. For use will need an office suite compatible, such as OpenOffice or MS Office. Standalone applications, are programs that run independently, so it is not necessary to have an office suite. Web applications: online applications are running in the browser and are available in numerous real estate portals and banks.

Types of mortgages simulators according to their functionality

According to the functionality we can find three types of simulators of mortgages:

Simulators mortgage fee: This type of simulators calculate the monthly mortgage, the APR and amortization table from the amount of the mortgage, the loan term and interest rate, usually employing the French model of constant quota . The APR (Annual Percentage Rate) shows the annual real cost of the loan, since it includes not only the interest rate but also the bank charges such as origination fee or commission if subrogation. Simulators mortgage expenses: These simulators calculate the initial cost mortgages that are generated when a mortgage, including expenditures prior to the operation (check the registration status of the property, property appraisal), the costs of formalization ( insurance, notary, registration, taxes, management and processing) or the costs associated products that require banks to grant a mortgage contract (insurance, pension plans, credit cards). Simulators maximum mortgage: this kind of mortgage simulators calculate the maximum mortgage that the user can afford given the income and expenditure of the household, whereas the monthly mortgage can be a maximum 35% of total net income.

Source: Mortgage calculator