The Mortgage Calculator works by taking details such as your loan amount, interest rate, loan term, and any additional repayments into account. It then calculates your monthly payment accordingly. It essentially divides your loan into equal monthly payments across the loan term, which includes both principal and interest.
Some calculators also allow for extra contributions, which can reduce the total interest you pay. This tool can be excellent for giving you a rough idea of your budget before fully committing. Just keep in mind that these tools are estimates and shouldn’t be viewed as the true amount.
