With the budget calculator, you can ask yourself a very fundamental question before you finish a construction loan: How much can I actually afford? Many potential property owners are wondering how much money they could spend each month on a loan. You want to modernize? With the help of a loan you can fulfill these wishes! How much and how much someone receives a bank loan depends on their creditworthiness.
How much credit can I get? – You can pay it off.
But if you want to borrow money from a bank, you have to settle exactly. Most consumers rush into the credit adventure without first thinking about the amount they would get from the bank. Where did you get a recipe from? How much money can you spend?
First of all, we want to clarify what you need to know to determine the maximum amount that can be raised at a bank. What do you have per year? What sounds like a simple business in the beginning is very compute-intensive. First of all, your salary.
If your conversation partner also carries out an activity, this will of course be included in the billing. However, be prepared to make the billing as realistic and traceable as possible. If your conversation partner has only a mini-job, the result in the account should be reduced by half, which improves the predictability. What revenue can you still plan?
Many consumers are not only a fee available. Of course you can also involve the falling interest rates. I said already, stay calm and calculate a little less than too much. The part of the billing is more complex, often a cost center is overlooked. It should be noted that a monthly charge of 50 USD in 10 years is offset by a not insignificant share of 5,000 USD for a loan of 100,000 USD.
And what do you have to do every day?
There is a rule of thumb: 750 per year. What information do you need about interest rates? Now that you know the cost and estimate what is available monthly, we come to the interest rates.
When comparing the interest rates and the offer of credit institutions, you must therefore make sure that you consider the correct interest rate. The interest depends on the duration, which has already influenced the effective interest rate. In the case of a long-term loan with a bank, eg for a home, the fixed interest rate is standard.
What do you have to pay attention to when repaying? The repayment includes the loan rate you pay for the loan. This shows how much of the loan amount at banks is repaid by twelve times the lending rate in the first year. For a loan of 100,000 and an initial repayment of 1%, this means that $ 1,000 will be repaid in the first year.
With a current interest rate of 1.93% on a 10-year interest rate commitment, this means that you only have 244.17, but only after 55 years and 8 months the full repayment.
Under the same conditions, but with an initial repayment of 5%, which means that you would repay 5,000 in the first year, the monthly rate would be $ 577.50. But how can you determine as easily as possible how bad your credit can be?
You take the result of calculating income and expenses, times 12 and then 100 Then you divide the result by the amount of interest and amortization. Now this is 12 x 12 x the total (14 400) with 100 x multiplication.
Let us now generously assume an interest rate of three percentage points. The initial repayment is three percentage points (in professional circles this is considered a minimum). The results of the previous calculation (1,440,000) are now divided by the interest and redemption product, ie 6. This is the maximum loan amount that you spend with a bank.