MORTGAGE CALCULATOR
Mortgage Help
Understanding the inputs behind your mortgage calculator helps you run more accurate estimates. Here's a plain-language breakdown of every field.
Calculator Inputs
Down Payment
The typical benchmark is 20% of the home's purchase price, although many loan programs allow as little as 3% to 3.5% down. Your down payment reduces the total loan amount — the more you put down, the lower your monthly payments or the more home you can afford.
Interest Rate
The calculator is pre-filled with the current average mortgage rate. Your actual rate depends on your credit score, down payment, loan type, and market conditions at the time you lock.
Property Tax Rate
The calculator estimates property taxes based on the home's assessed value. In Duval County, the average effective rate is approximately 0.86%, though the exact amount varies by location, homestead exemptions, and any special district assessments.
Home Insurance
Homeowners insurance is typically required by lenders regardless of loan program. In Florida, premiums tend to run higher than the national average due to hurricane and flood risk exposure.
Loan Term & Type
Your loan program directly affects your interest rate and monthly payment
Fixed-Rate Mortgages
Your interest rate stays the same for the entire life of the loan — whether 15 or 30 years. Monthly payments never change, making it easy to budget long-term. This is the most popular choice for buyers planning to stay in their home.
Adjustable-Rate Mortgages (ARMs)
ARMs start with a lower introductory rate that's fixed for a set period — typically 5 or 7 years — then adjusts annually based on market conditions. A 5/1 ARM holds the initial rate for 5 years before resetting each year. This can be a smart option if you plan to sell or refinance before the adjustment period begins.
Choosing Your Term Length
The most common options are 30-year and 15-year fixed. A 30-year term gives you lower monthly payments but more total interest over the life of the loan. A 15-year term means higher monthly payments but significantly less interest paid overall — and full ownership much sooner.
Other Monthly Costs
HOA Fees
A homeowners association (HOA) fee is a monthly or quarterly payment required in certain communities. These funds cover shared amenities and upkeep — pools, landscaping, gated entries, exterior maintenance, and more. In Northeast Florida, HOA fees range widely from under $50/month in smaller neighborhoods to $300+ in resort-style or waterfront communities. Always factor HOA costs into your total monthly housing budget.
Private Mortgage Insurance (PMI)
If your down payment is less than 20% on a conventional loan, lenders typically require PMI. This protects the lender — not you — in case of default. PMI usually adds $50–$200/month, depending on your loan amount and credit score, and drops off automatically once you reach 20% equity.
Flood Insurance
Many Northeast Florida properties fall within FEMA flood zones, which may require separate flood insurance beyond your standard homeowners policy. Even if your property isn't in a designated flood zone, coverage is often recommended given Florida's storm season. Your lender will confirm whether it's required for your specific address.
Need Help Running the Numbers?
Our team and lending partner Kim Cole can walk you through every scenario — no obligation, no pressure.