Loan Amount
Percent %
years

Monthly EMI:

Principal amount:

Total interest:

Total amount:

# Free Mortgage calculator » Calculate Your Mortgage Payment

Mortgage calculator is an online financial tool. A mortgage loan is a type of loan specifically used to finance the purchase of real estate, typically homes or properties.

A mortgage loan is one of the most common ways for people to finance a home purchase. With a mortgage, you borrow money from a bank or lender to cover the cost of buying a house.

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## What is Mortgage Loan?

If you take a loan on any property that you already have, then it is called Mortgage Loan. Mortgage loan is also known as Loan Against Property (LAP). This means that today we have a property. We mortgage it to the bank and we take the money, then it is called mortgage loan.

## Why mortgage loan is taken?

Mortgage loan is taken because the property we have, we take the money by mortgaging it to the bank.We can use it in any way like starting a new business, moving the business forward, setting up a factory, buying a masonry, you have to buy a plot. Whatever money you take from the mortgage loan, you can do anything with that money.

## How deos a Mortgage Loan calculator work?

A loan calculator work on the following formula.

M = [P x R x (1+R) ^N] / [(1+R) ^N-1]

In the above formula

 M Mortgage amount . P Principal amount. R Rate of interest. N Loan tenure.

For example, If a x person avails a loan of \$1000,000 at an annual interest rate of 6% for a tenure of 96 months (8 years), then his EMI will be calculated as under.

If rate of interest is 6% p.a. then r = 6/12/100 = 0.005.

EMI= 1000,000 * 0.005 * (1 + 0.005)120 / ((1 + 0.005)120 - 1) = 13,141.

The total amount payable will be \$13,141 * 96 = \$1,261,577. Principal loan amount is \$1000,000 and the Interest amount will be \$261,577.

### How To Use Mortgage Calculator?

It is very easy to use the Mortgage calculator. Here's a step-by-step guide on how to use a mortgage calculator:

• Step 1: First of all you have to select the currency (This is optional.)
• Step 2: Start by entering the loan amount you plan to borrow. It can also be called the "principal.
• Step 3: Input the interest rate for the mortgage.
• Step 4: Choose the loan term, which is the number of years over which you plan to repay the mortgage.

With the help of these steps, you can easily calculate your Mortgage, that too for free.

### Mortgage Loan Calculator Features.

Some of the features of the Mortgage calculator tool are as follows:

• Simple Interface
• In this, you can select different types of currency with the help of select box. Sorry if you don't have the currency of your country, if you want to add, then contact.
• For ease, you can easily increase or decrease the value with the help of slider on Principal Amount, Rate of interest, Loan tenure.
• In Return, we have told you with the help of Google chart, with the help of which you can easily know your return and your total interest.
• Free to Use

#### FAQs

The Six Main Types of Mortgages?
1. Conventional Mortgages.
2. Conforming Mortgage Loans.
3. Nonconforming Mortgage Loans.
4. Government-Insured Federal Housing Administration (FHA) Loans.
5. Government-Insured Veterans Affairs (VA) Loans.
6. Government-Insured U.S. Department of Agriculture (USDA) Loans.
This information is taken from Investopedia.
How do I calculate my mortgage?
You can calculate mortgage with the help of this formula.
M = [P x R x (1+R) ^N] / [(1+R) ^N-1]
in which
M = Mortgage. P = Principal amount. R = Rate of interest. N = Loan tenure.