Everything You Need to Know About Getting a Mortgage

Buying a home is the biggest financial decision most people make. This guide walks you through every step — from calculating affordability to choosing the right mortgage and paying it off faster.

📑 In This Guide

1. How Much Home Can You Afford?
2. Types of Mortgages
3. Down Payment Guide
4. How Your Credit Score Affects Your Rate
5. EMI Calculations for Every Budget
6. How to Pay Off Your Mortgage Faster
7. When to Refinance
8. Free Calculators

1. How Much Home Can You Afford?

The 28/36 rule: spend no more than 28% of gross income on housing, 36% on total debt. If you earn $75,000/year, your maximum monthly mortgage payment should be around $1,750.

Full guide: Mortgage Affordability Calculator

2. Types of Mortgages

Fixed Rate: Payments never change. Best for long-term stability.
Variable/Adjustable Rate: Lower initial rate, but can change. Best if you plan to sell within 5-7 years.

Detailed comparison: Fixed vs Variable Rate — Which Is Better?

3. Down Payment

20% down eliminates PMI and gets best rates. But 3-10% down is possible with PMI. Full breakdown: How Much Down Payment Do You Need?

4. Credit Score Impact

A 740+ score gets the best mortgage rates. Each 20-point drop can cost 0.25-0.5% more interest — potentially $100,000+ over 30 years.

Improve your score: Credit Score Ranges Explained | Build Credit From Scratch

5. EMI Calculations

See exactly what your monthly payment will be:

₹20 Lakh Home Loan EMI
₹30 Lakh Home Loan EMI
₹50 Lakh Home Loan EMI
Complete Home Loan EMI Calculator Guide

6. Pay Off Faster

Biweekly payments, rounding up, and one extra payment per year can save $100,000+ in interest and cut years off your mortgage.

Full strategies: 7 Ways to Pay Off Your Mortgage Faster

7. When to Refinance

If rates drop 0.75-1% below your current rate and you plan to stay 2+ years, refinancing can save tens of thousands.

Complete guide: Mortgage Refinancing Guide

Also compare: 15-Year vs 30-Year Mortgage

8. Free Calculators

📊 EMI Calculator
📊 Insurance Need Calculator
📊 All 10 Calculators

Frequently Asked Questions

How much mortgage can I afford on my salary?

Use the 28/36 rule — your mortgage payment should not exceed 28% of your gross monthly income. For example, on a $75,000 annual salary, your maximum monthly mortgage payment should be around $1,750.

Is it better to get a 15-year or 30-year mortgage?

A 15-year mortgage saves you over $200,000 in interest on a $300,000 loan but has higher monthly payments. Choose 15-year if your payment stays under 25% of income. Otherwise, take 30-year and make extra payments when possible.

How much down payment do I need for a house?

While 20% down is ideal to avoid PMI (Private Mortgage Insurance), you can buy a home with as little as 3-5% down. The trade-off is higher monthly payments due to PMI, which typically costs $100-200 per month.