The Reason I Dislike Online Mortgage Calculators
There are real estate and mortgage financing topics that are written about often ...
For someone outside of the real estate or mortgage industry, it must seem somewhat repetitious (and maybe even somewhat boring) to see a particular topic written about one ... more ... time. Yet I, as a Mortgage Lender, feel strongly that some real estate and mortgage financing topics are that important and bare repeating ... and continuous updating.
But even I will admit, there are those times I just cringe when I see a trendy, or often-repeated topic, pop-up once again. For me, a good example of a topic like that are articles regarding: Mortgage Calculators.
Now I know that many Mortgage Lenders provide mortgage calculators on their website. I don't. Just never been a big fan of doing that. That's especially true now.
I think that the number of factors that contribute to the equation for a mortgage payment (and a mortgage approval) ... and those factors within the equation that can change quickly ... has grown too dramatically to make a calculator available to visitors on my website.
What are some of these contributing factors?
- Interest Rates
- Mortgage Program availability
- Viable and "Approvable" options for the individual Home Buyer
- The terms that coincide with those Options and Programs
- Taxes related to a specific property
- HOA Fees
- Income Factors and eligibility
- Many more ...
It's a fairly common occurrence for potential Buyers to tell me they have used a mortgage calculator prior to our meeting or talking. They've been online and they think they "know" what they can afford to buy and what their monthly mortgage payments will (and can) be. Yet, the great majority of the time they are wrong.
Fact is: Calculations and calculators are only as good as the info and numbers plugged into them. And these days, that info and those numbers can be challenging to discover and utilize. It takes an experienced mortgage professional.
I've heard many of the agents I work with here in the Chicago area say that they typically won't show someone homes until they have been Pre-Qualified for their mortgage financing. Why? Many relate that they believe it's almost cruel to take that risk with their clients' emotions.
Think about it: What if a clients falls in love with a home, only to find out when Pre-Qualified after viewing it that they can't afford to buy it? How painful!
I say mortgage calculators can do much the same thing. I've had clients come into the initial mortgage conversation thinking they already knew what they could afford. Yet upon Pre-Qualification I found that their calculations were wrong. Reality revealed something quite different.
When this happens, the client, even before they've really begun, often gets upset and disappointed with their mortgage process and their journey to buy a home. Like I said, to me that seems almost cruel and it can ruin what should be a happy experience.
My suggestion? Forgo the mortgage calculators you see online or on websites. Resist that temptation.
When you've got questions or want fact and figures ... contact me, your Chicago area Mortgage Lender. I'll be happy to hear from you and provide the info, facts, and figures you need to move forward with your home search and mortgage financing.
That way you don't run the risk of over-or-under evaluating your financial potential and miss viewing the homes you can truly afford ...
* Hoping to Buy, Build, or Refinance a Home in the Chicago area? Contact Me Today! I'll get you the facts, info, and figures you need to make the best home buying and mortgage financing decisions for you and your future.
I can be easily found at:
Cell or Text: 708.921.6331708.921.6331
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Gene Mundt, Mortgage Lender, a Lender with 36 years of mortgage experience, will offer you exemplary mortgage service and advice when seeking: Conventional, FHA, VA, Jumbo, USDA, and Portfolio Loans in Chicago and the greater Chicagoland region, including: The Lincoln-Way Area, Will County, (New Lenox, Frankfort, Mokena, Manhattan, Joliet, Shorewood, Crest Hill, Plainfield, Bolingbrook, Romeoville, Naperville, etc.), DuPage County, the City of Chicago, Cook County, and elsewhere within IL.