Mortgage Weekly

Where to find a loan mortgage calculator and how it helps you

financialpress — Tue, 27 Oct 2009 14:49:29 +0000

When you’re looking for a mortgage to buy a home, a loan mortgage calculator can help you make the right decision. There is a wide variety of such calculators available on the Internet. These tools help you get a clear idea about how much you need to spend on a loan. For doing calculations with the loan mortgage calculator, all you need to do is enter some basic details like your loan amount, interest rate or loan term into it.

Sources of loan mortgage calculators

There are various financial websites that work as excellent resources of loan mortgage calculators. There are commercial websites featuring mortgage loan calculators. These sites often ask you to buy something from them. If you’re searching for something that offers you just the details without prejudice, you can go for .gov (government) or .edu (educational) websites.

How loan mortgage calculators help you

A loan mortgage calculator helps you make different calculations related to mortgages. Some of the mortgage calculations are given below:

1) Calculation of monthly mortgage payment

If you enter the loan amount you want to borrow, the interest rate and the loan term into a mortgage calculator, it would calculate the monthly mortgage payments for you. You can work out monthly mortgage payments on adjustable rate mortgages, fixed rate mortgages or balloon mortgages. By using this tool you can understand how much you need to pay every month.

2) Comparison of loan options

There are some calculators that can help you compare loan options and choose the loan that is most suitable for your financial situation.

3) Calculating your affordability

Based on your monthly mortgage payment, a loan mortgage calculator helps you find out how much mortgage you can afford.

4) Calculation of amortization schedule

Home mortgage calculators help you figure out amortization schedules. These schedules help you understand how your principal balance and interest are paid off with time.

5) Calculation of mortgage APR

Your mortgage APR (annual percentage rate) can also be worked out with a mortgage calculator.

Mortgage loan calculators work as user-friendly tools to calculate and compare various loan options offered by different lenders. This would help you select the most suitable loan program for you.

Mortgages for people in negative equity

financialpress — Thu, 16 Apr 2009 08:46:11 +0000

Two major mortgage providers are offering home loans to existing customers who are in negative equity.

Halifax and Bank of Scotland are extending the maximum loan-to-value (LTV) ratio on some of their mortgage deals to customers who are coming to the end of their existing fixed- or tracker-rate mortgages.

Looking, but not buying – yet

financialpress — Thu, 16 Apr 2009 08:43:33 +0000

Interest from potential homebuyers rose for the fifth month in a row in March but housing transactions remained at record lows as first-time buyers struggled to obtain mortgages.

The Royal Institution of Chartered Surveyors (Rics) reports today that 31% more chartered surveyors reported a rise rather than a fall in new buyer inquiries, up from 21% in February. Interest was strong in every region, with London and Wales leading the way. Rics said the rise in interest reflected the drop in asking prices and the sharp fall in the cost of money.

However, first-time buyers are still struggling to get a foot on the property ladder as banks continue to tighten lending conditions. The average number of sales per surveyor for the past three months rose slightly to 9.7 in March, up from a record low of 9.6 the previous month.

Mortgage approvals up 19%

financialpress — Wed, 01 Apr 2009 09:31:10 +0000

The number of mortgages approved rose significantly in February, according to new figures from the Bank of England.

As The Times reports, 37,937 mortgages were approved for home purchase in February – a jump of some 19% from January`s figure of 31,791. The Bank pointed out that this was the highest figure since May 2008, and far above the six-month average (31,500).

HSBC to recommend rivals’ mortgages in branch

financialpress — Wed, 01 Apr 2009 09:21:50 +0000

HSBC is taking on mortgage brokers with the trialling of a new “whole of market” advice service available to customers in its branches.

The lender will charge customers £150 to speak to a Mortgage Matcher consultant, who will offer impartial advice on the best mortgage deals available, including those from rival lenders. Customers who go on to take out a home loan from HSBC or First Direct, its online-only banking brand, will still be charged the fee.

Should I overpay my mortgage or save the money?

financialpress — Wed, 01 Apr 2009 09:14:47 +0000

Question:

I am wondering whether I would be better off overpaying my mortgage by £600 every month, or saving the same amount and making a lump sum repayment every year? I’m on a tracker with no penalties for overpayment and there are 24 years left on my mortgage. I think the first option is better (unless there is a savings account with a very high interest rate).

Tenants are ‘recession victims’

financialpress — Fri, 27 Mar 2009 12:28:35 +0000

Campaigners are urging the government to help protect thousands of private tenants facing eviction as landlords increasingly fall into mortgage arrears.

The Citizens Advice Bureau, Shelter, Crisis and the Chartered Institute of Housing have joined forces to highlight what they say is a growing problem.

They want new laws in England and Wales to give tenants more notice when their home is repossessed by mortgage firms.

Currently only two weeks’ notice is required, leaving many homeless.

The government has so far said it will increase it to seven weeks, from 6 April.

Proposed cap on mortgage lending by FSA is ‘suicidal’, say property experts

financialpress — Tue, 17 Mar 2009 17:08:00 +0000

A proposed cap on mortgage lending, limiting how much money home buyers could borrow, has alarmed property experts, who have warned the move could be “suicidal” for the housing market.

Proposals to limit how much banks and building societies can lend home buyers – restricting mortgages to just three times a buyer’s annual salary – are one of the ideas expected to be published by the Financial Services Authority (FSA) this week.

As part of a wide-ranging package of announcements for banking regulation following the near-collapse of the financial system, Lord Turner, chairman of the FSA, will also suggest a ban on 100 per cent mortgages.

Home buyer enquiries rise but fail to translate into sales, RICS says

financialpress — Tue, 10 Mar 2009 14:42:54 +0000

Homebuyers are returning to the market, but they are still unable to get mortgages – leaving sales at an all-time low, the Royal Institution of Chartered Surveyors announced today.

RICS said new buyer enquiries increased for the fourth consecutive month, with the strongest increases seen in London, Wales and the South West.

However, it added that the number of properties actually being sold by estate agents dropped to less than one a week, the lowest level in 30 years.

Bovis announces £78.7million loss after collapse of mortgage market

financialpress — Mon, 09 Mar 2009 11:23:31 +0000

Bovis Homes has announced that its revenue fell almost 50 per cent last year, due to the sharp fall in the number of homes sold as potential buyers struggle to get a mortgage in the current economic climate.

The house building group completed 1,817 homes in 2008, about a third fewer than the number completed in 2007, and Bovis said that the average price it sold a home for was £150,800, compared to £179,500 the year before.

Last year it managed to reduce its costs through redundancies and restructuring of the business, cutting overheads by about 45 per cent when compared to 2007, but its £78.7million loss for 2008 follows profits in 2007 of £123.6million.