how to compare mortgages
banks savings and loan associations and credit unions were once virtually the only sources of mortgages today however a burgeoning share of the mortgage market includes nonbank lenders such as better loandepot rocket mortgage and sofi if you re shopping for a mortgage an online mortgage calculator can help you compare estimated monthly payments based on the type of mortgage the interest rate and how large a down payment you plan to make it also can help you determine how expensive a property you can reasonably afford in addition to the principal and interest you ll be paying on the mortgage the lender or mortgage servicer may set up an escrow account to pay local property taxes homeowners insurance premiums and other expenses those costs will add to your monthly mortgage payment also note that if you make less than a 20 down payment when you take out your mortgage your lender may require that you purchase private mortgage insurance pmi which becomes another added monthly cost 9if you have a mortgage you still own your home instead of the bank your bank may have loaned you money to purchase the house but rather than owning the property they impose a lien on it the house is used as collateral but only if the loan goes into default if you default and foreclose on your mortgage however the bank may become the new owner of your home frequently asked questions faqs 