Mortgage APR explainer video - Okcalculator.com

Mortgage APR explainer video - Okcalculator.com. APR Cost of Mortgage Money over time

Mortgage APR explainer video - Okcalculator.com video duration 3 Minute(s) 1 Second(s), published by OkCalculator.com on 16 03 2018 - 16:05:20.

Visit https://www.okcalculator.com/mortgage-apr-calculator.html for the mortgage apr calculator
Mortgage rates can all look good at first sight, but the total cost

http://sacrelender.com APR seems to be defined differently by almost everyone
Here's what APR is and how it's calculated
916-485-7939 apr and interest rate Paying off your mortgage in 5 to 7 years can help you change your life
Find out your mortgage options here: https://goo.gl/1up9dK SUMMARY In this video, How to evaluate the cost of your mortgage money over time and make a great decision! In general, the closer your APR is to your actual interest rate, the lower .

Visit https://www.okcalculator.com/mortgage-apr-calculator.html for the mortgage apr calculator.

Mortgage rates can all look good at first sight, but the total cost and interest you will pay is reflected on the APR (annual percentage rate). In this video, we will explain the difference and empower you to make a wiser and smarter decision.

Transcript:

Mortgage APR

Purchasing a home can be an exciting event in life. Like most people, you probably want to make sure you are getting the best deal on your mortgage loan. While most homebuyers focus mainly on their interest rate, it's equally important to consider your Annual Percentage Rate.

What's the difference between interest rate and APR?

Interest rate is what the bank charges you for loaning money. Banks and lenders can offer several interest rates for mortgage loans. Your income, credit score, financing needs, and the home you are purchasing can affect the rate you are offered.

The APR on a loan is different because it can give you an idea of the closing costs and compounding rate, in addition to interest, on the mortgage offer. Thus, APR can illustrate your total cost of borrowing so that you can compare quotes between creditors easily.

So, what are the potential costs for closing a mortgage? Some fees are paid at the beginning of the buying process, while other costs are only when the purchase is finalized.

You will likely end up paying for:

♣ An appraisal (compulsory requirement) Creditors will require the fair market value of your home to back the loan amount they can provide.

♣ Survey fee. Sometimes, you may have to verify the boundaries of your property to get financing. A lawyer, banker, or broker, could help you with this.

♣ Inspection fees (for older homes only) to evaluate the structures and systems that make up the house.

♣ An up-to-date credit report. The lender will obtain your FICO score and repayment history to determine your credit worthiness.

♣ Record changes. There is a fee for registering your ownership with state and local governments.

♣ Mortgage points. Point are bought upfront as prepaid interest to reduce your monthly payment. One point is one percent of your loan amount.

♣ Transfer Tax. You will owe uncle sam a 1 time fee to pass the ownership from the seller to the buyer.

Property Tax - Generally, the creditor requires your property taxes within 60 days of closing

♣ Legals. Depending on the difficult of the file, lawyers can charge anywhere from a few hundred to a couple thousand dollars.

♣ Broker fees. This can range from zero to couple points

♣ Lender origination fee. Your creditor can charge approximately 1% of the total loan amount as a service fee for processing your loan application.

So a lower rate is not always the best solution, maybe the most attractive but the devil is in the fine print waging a war of fees against you.

By using our mortgage APR calculator, you can remove any guesswork that could be involved in figuring out the APR on your mortgage.