Are you gearing up to buy your first home? Where do you even begin? How much should you expect to pay with your mortgage? And most importantly, is it even worth buying in your area right now? You might be surprised to learn that with the changing market, renting may be more cost-effective than buying--or is it? This will depend on a number of different factors. So how do you find the best mortgage calculator to determine if renting is better than buying? Finding a good mortgage calculator online may be easier than you think. There are tons of resources on the internet that are aimed at helping you figure out your finances. For the sake of clarity, we will explore the mortgage calculator offered by Zillow.com in this article. This calculator offers many perks, which we will outline below.

It Breaks Down the Mortgage Payment

For first time buyers, making that first mortgage payment can feel intimidating. Zillow breaks down the exact formula they use to calculate your mortgage with simple, easy-to-understand variables. You simply type in the price of your home, your down payment, your loan program and your fixed rate. This user-friendly calculator lets you easily view what to expect with monthly mortgage payments in your area. An added benefit of this calculator is that Zillow.com allows you to search both for properties for sale and rentals in your area. This makes it all the easier to compare mortgages to rents. Moreover, by calculating a mortgage local to you, you can easily find the best value for your budget.

It Gives You a Good Idea of What You Will Be Spending Beyond the Mortgage

Zillow provides detailed instructions for calculating your mortgage payment and makes the rationale for their calculations transparent from the start. For example, the calculator can estimate a predetermined interest rate, predict your property tax, and consider the cost of homeowner’s insurance. Having these numbers handy will make it so much easier for you to budget for your new home and to decide if now is actually the best time for you to buy.

It is Multifunctional

Lastly, the Zillow mortgage calculator is incredibly versatile. Zillow makes it simple to compare and calculate different scenarios, it easily helps you budget and look at where your money is going, and it estimates the cost of different loan types. A mortgage calculator is an essential tool for helping you decide what your journey as a homeowner or renter should look like. Zillow takes the stress out of finding lenders. It’s easy to use, easy to understand, and will take less than ten minutes of your time. Try it for yourself here!