DON’T TRUST AN ONLINE MORTGAGE CALCULATOR
If you're house-hunting, chances are you've come across one of those handy online mortgage calculators. They promise to give you a clear idea of your future mortgage payment with just a few clicks. But here's the thing—most of them aren't giving you the *full* picture. And that can lead to some serious sticker shock when it comes time to sign the papers.
Let me break down four key reasons why relying solely on those online calculators might set you up for a big surprise.
Assuming a 20% Down Payment
A lot of these calculators are pre-set with the assumption that you’re putting down a 20% payment. That’s not always the case for everyone, though! Maybe you’re looking at a 5%, 10%, or 15% down payment, and that's going to change your numbers significantly. Sure, you can adjust the settings, but you’ve got to be *aware* of this default.
Missing Those California Insurance Rates
If you’re in California, this one’s a biggie. Insurance costs are on the rise, with some experts predicting another 40% increase soon. Those calculators? They don’t factor that in. This could easily add $100, $200, or more to your monthly payment, depending on the area. That’s not a small detail to miss when you're budgeting!
Inaccurate Property Tax Assumptions
Another thing that often flies under the radar—property taxes. Here in California, the base property tax rate might be around 1%, but depending on where you're buying, there could be extra layers like city beautification, Mello-Roos, or school district fees. Those calculators often miss the mark on these, which means your actual tax bill could be way higher than what the calculator suggests.
Forgetting Solar and HOA Payment
Some calculators remember to add in HOA fees—many don’t. And almost none take into account things like solar payments or other special property-specific costs. That could leave you with a payment estimate that’s hundreds of dollars off. Ouch.
So, What’s the Solution?
While mortgage calculators are great for giving you a general sense of what your payment might look like, they’re not designed to dig into the details. That’s where we come in. My team and I spend up to 20 minutes for each estimate, making sure we’re pulling accurate property tax rates, looking at insurance costs (especially if you’re near a fire zone or a higher-risk area), and accounting for things like solar and HOA fees.
We don’t rely on generic numbers—we do the research to get you the most precise estimate possible.
Ready for the Real Numbers?
If you want a clear and accurate picture of what your monthly mortgage payment will actually look like, don’t hesitate to reach out. My team and I are here to do the heavy lifting, so you don’t have to rely on incomplete online tools. Get in touch with us today, and let’s make sure you’re fully prepared for your next home purchase!