The most important numbers are your credit score, interest rate, equity, income/existing payments ratio. Other numbers you will need are current market values, balances of existing loans, length of loan, and amount of loan.
How come using Yahoo home loan calculators it seems like I am paying way too much for my current home loan?
Took out a loan 6 years ago for 90K at like 5.75%. I'm paying around $900/month on it over 30 yrs. The calculators on Yahoo though say I can get a 90K loan now at 6% and only pay $540/month over 30 yrs. What is going on? Did I just get taken to the cleaners somehow? Is there anything I can do?
Yahoo calculators is just P&I. Meaning principal and interest. Your payment that you pay is PITI (principal interest taxes and insurance). But still 900 a month on 90K doesn't make any sense. That is huge. That would make you paying close to 45% of your payment to things other then P&I. It should be around 20-25% at most. Are you sure your interest rate was fixed? I'm trying to figure out why your payment is so high even calculating it with PITI. Its way way way high. Its been 6 years so chances are you dont have Mortgage Insurance. So you only have Taxes and Hazard. It only makes sense if you 90K loan is on a house that is worth 300K or maybe your insurance is for flood or earthquake. I would check your payment and see what it includes. Their is no reason to give the money to your bank so they can pay your bills. You are way pass that. Kill your escrow account.
How come using Yahoo home loan calculators it seems like I am paying way too much for my current home loan?
Took out a loan 6 years ago for 90K at like 5.75%. I'm paying around $900/month on it over 30 yrs. The calculators on Yahoo though say I can get a 90K loan now at 6% and only pay $540/month over 30 yrs. What is going on? Did I just get taken to the cleaners somehow? Is there anything I can do?
Yahoo calculators is just P&I. Meaning principal and interest. Your payment that you pay is PITI (principal interest taxes and insurance). But still 900 a month on 90K doesn't make any sense. That is huge. That would make you paying close to 45% of your payment to things other then P&I. It should be around 20-25% at most. Are you sure your interest rate was fixed? I'm trying to figure out why your payment is so high even calculating it with PITI. Its way way way high. Its been 6 years so chances are you dont have Mortgage Insurance. So you only have Taxes and Hazard. It only makes sense if you 90K loan is on a house that is worth 300K or maybe your insurance is for flood or earthquake. I would check your payment and see what it includes. Their is no reason to give the money to your bank so they can pay your bills. You are way pass that. Kill your escrow account.
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