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Calculating a mortgage involves several factors, with the principal amount, interest rate, loan term, and down payment playing pivotal roles. To start, determine the principal amount borrowed from the lender, which is the home’s purchase price minus the down payment. Next, consider the interest rate, typically expressed annually as a percentage. This rate determines the cost of borrowing over the loan term. By utilizing this mortgage calculator or formula, you can estimate monthly payments by incorporating these variables.
Calculate Mortgage Payments
