USDA Loan Calculator – Guarantee Fee and Annual Fee Calculator
Total Monthly Payment:
- USDA base loan amount
- USDA guarantee fee 1%
- USDA total loan amount
- Principal & interest
- USDA MIP
- Monthly property taxes
- Monthly insurance
- Down payment
How to Use This Mortgage Calculator
- Price of Home – Enter the price of the home you want to buy. If you do not have a home in mind yet, just add in a number in the range you expect to want to buy a home for.
- Mortgage – The second field titled “mortgage”, is by default on a 30 year fixed loan schedule. You may also select a 15 year fixed loan schedule.
- Interest Rate – This calculator is by default set at a 4% interest rate. You may adjust the interest rate.
- Down Payment – USDA loans do not require a down payment. If you would like to put money down, reduce the amount you put into the Price of Home field to reflect how much you want to use as a down payment. So if you want to buy a $150,000 home, and plan to put $10,000 down, then add in $140,000 for the Price of Home, which will serve as your total loan amount for the purpose of calculating your expected payment.
- State – Select the state that you wish to purchase a property in. This will update the estimated amount of property taxes,
- Property Taxes – After you select your state, this will update the amount of estimated property taxes you will be require to pay.
- Annual Insurance – The amount that the annual homeowners insurance will cost depends on the property you intend to buy, your homeowners insurance claim history (if you have owned a home before, and had to make a claim), and the specific homeowners insurance company that you select to insure your home.
After submitting information into these fields, it will calculate how much the USDA mortgage payment will be.
- USDA Base Loan Amount -This is the amount of your loan after subtracting your down payment from the total, but prior to adding in the USDA upfront mortgage insurance premium (UPMIP).
- USDA Upfront Mortgage Insurance – All USDA loans require a 1.00% upfront “guarantee fee” (which is the name of the USDA mortgage insurance) premium to be paid. This is calculated from the base loan amount.
- USDA Total Loan Amount – This is the combined total of your USDA base loan amount (after subtracting the down payment), along with the upfront mortgage insurance fee. You have the option to pay the mortgage insurance amount out of pocket, or you can include it into the loan amount. Most decide to include it in the loan amount, so we have it automatically added on the calculator.
- Principle and Interest – This is the amount of your mortgage payment before adding mortgage insurance, and property taxes, and property insurance.
- USDA Monthly Mortgage Insurance – This is the monthly mortgage insurance premiums required on all USDA loans. This amount is 0.35% of the principle loan balance. It is recalculated each year and goes down as your loan balance does.
- Monthly property taxes – This is the estimated amount of property taxes that you will need to pay monthly.
- Monthly insurance – This is the estimated amount of homeowners insurance that you will need to pay monthly.