The earliest and relatively easy thing to do is to compare the number of installments offered by mortgage lenders. See which one offers the lowest repayments. It’s easy to do. You can come to the customer service at the bank. They usually have a table of interest and mortgage payments that apply. You just choose, how much you want to borrow, how long, there will be a number of installments per month. With the same number of mortgage loans, the same time period, you can compare which institutions offer the smallest mortgage installments. Comparisons should not be made only on the number of interest rates, because interest rates can be the same, and the number of mortgages the same, but the amount of installments is different. So for more certain, you are advised to see how many installments. In the meantime, if you also need to calculate your PMI without mistakes, we recommend you to try the pmi calculator
Aside from that, the amount of the installment is determined by how much the interest rate is, as well as the type of interest used. There are two types of interest rates, namely: fixed and floating. With fixed interest rates, installments do not change during the period of the mortgage. Generally, when still using this interest, the amount of installments is relatively small. But, make sure how long the fixed interest period is valid. Generally, mortgage channeling institutions offer a fixed interest rate for a certain time only. After the validity period is over, the interest rate changes to floating. When the fixed interest period ends, installments will rise and fluctuate because they follow a market interest.
With floating interest rates, it means that interest rates can change depending on market interest fluctuations. If the mortgage dealer offers a variable interest rate, then when market interest falls, generally the mortgage interest offered to the public will also go down. Vice versa. When market interest goes up, mortgage rates go up. Each mortgage distributor bank has a different policy regarding changes in interest rates. You should ask if they have the right to change interest rates at any time or based on certain criteria/benchmarks.