Calculating the mortgage installment is an essential step for those who want to obtain financing for the purchase of a home or for other needs. The mortgage payment represents a long-term financial commitment, so it is important to calculate it accurately to see if you are able to sustain it without difficulty. With the help of this mortgage installment calculator, you can easily simulate the amount of your monthly, quarterly or annual installment, depending on your needs.
Contents
How the mortgage installment calculator works
The mortgage installment calculator offers a simulation that allows you to:
- Determine your monthly, quarterly or annualinstallment based on your mortgage amount, interest rate and term;
- Simulate different loandurations to assess how the installment varies for shorter or longer mortgages.
The installment calculation includes two components: the principal portion, which is the repayment of the loan, and the interest portion, which represents the cost of the loan. The most common amortization plan in Italy is the “French” amortization plan, which provides a fixed amount installment consisting of a decreasing interest portion and an increasing principal portion.
How the duration of the mortgage affects the installment
In general,
- The shorter the duration of the mortgage -> the higher the installments -> but the lower the total interest cost
- The longer the mortgage term -> the lower installments -> the higher total interest amount.
Tip: To save on interest, it may be advantageous to opt for a shorter term mortgage, if one’s budget allows, or to commit to paying off a large portion of the mortgage at the beginning of the loan.
With the following mortgage installment calculator, you can easily simulate the impact of different amortization periods, helping you choose the option that best meets your needs and optimizes your costs.
Mortgage installment calculator
Sommario dei Pagamenti
| Anno | Totale rate | Quota interessi (€) | Quota capitale (€) | Capitale iniziale (€) | Capitale da rimborsare (€) |
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Riepilogo Totale
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Giuseppe Fontana
I am a graduate in Sport and Sports Management and passionate about programming, finance and personal productivity, areas that I consider essential for anyone who wants to grow and improve. In my work I am involved in web marketing and e-commerce management, where I put to the test every day the skills I have developed over the years.
