Home Loan Calculators: Why and When to Use Them 

Home Loan Calculators: Why and When to Use Them 

Knowing how to use the most frequently used home loan calculators will not only make one’s mortgage application an easy one, but it can also increase the likelihood of approval.

Since there are several types of calculators that you can use online, knowing which ones to use and how to actually use them is a key to success. For many, most of these calculators may look the same and seem to serve the same purpose, they are actually different.

In this article, we have identified the most commonly used home loan calculators and provide a brief introduction on what purpose they serve and why you should learn how to use them.

Intellichoice Budget Planner Calculator

This calculator can give you a glimpse of your yearly cash flow and help keep track your expenses. It is a helpful tool to help you track your income and expenses on a regular basis.

Read More: 5 Key Things To Consider Before Getting A Home Loan

If you want to avoid getting into another debt that you can’t afford, this can help you manage your finances by identifying how your income is spent.

Intellichoice Property Buying Cost Calculator

Since buying a property is a costly preposition, one should be prepared emotionally and financially for this endeavor.

This calculator provides an estimate of all the costs associated when buying a property--on top of the property cost itself.

To help you estimate all the costs associated with buying a property, this calculator can be very helpful.

Home Loan Repayment Calculator

After getting an estimate of the cost of buying a house as well as the other costs associated with purchasing your own dream house, the next thing that you should determine is whether or not you’re financially capable of making repayments.

Read More: First Time Home Buyers: Is It Wise To Get That Home Loan Now?

Should your loan application get approved, one way or another, you need to make sure that you can afford the repayments or how much repayments you are most comfortable with.

This calculator will help you determine if you are financially capable of repaying a home loan. This can also help you adjust on certain aspects in your finances to be able to afford a home loan repayment scheme assigned to you by your lender.

By using this calculator, you can better manage your home loan repayments in a timely manner in accordance with your budget.

Savings Calculators

If the results from previous calculators show that you are not yet financially ready to get a home loan, you might want to consider saving up until you can afford getting a new mortgage.

With this calculator, you will get an estimate on how much to save and how long will it take for you to achieve that target.

Each of these calculators work for a specific need and each home buyer may see each calculator more useful than the others. To make your home loan application seamless, you need to get yourself acquainted with the most commonly used calculators and learn how and when should you use them.

Darin Hindmarsh is the founder and CEO of Intellichoice Finance, a broking firm based in Brisbane. He's been providing financial and broking services in the past 18 years. Hindmarsh is also finalist in the 2020 Australian Mortgage Awards - Pepper Money Broker of the Year – Specialist Lending. To jumpstart your home loan application, visit their home loan online application page today.!