Fed Unveils Mortgage Calculator

Homebuyers considering different mortgage products can now use an online mortgage calculator to compare the monthly payments and equity buildup of different loan products, thanks to the Federal Reserve Board."We have created a tool that will allow consumers to look ahead to see how much equity they will build and what their mortgage payments will be three, five, seven, or 10 years down the road with different mortgage products," Fed Governor Randall Kroszner said. The calculator can be used on 30-year and 15-year fixed-rate mortgages, interest-only fixed-rate mortgages, adjustable-rate mortgages, interest-only ARMs, and payment-option ARMs. "These comparisons should encourage more consumers to shop around and compare mortgage offers," the Fed governor said. The Mortgage Comparison Calculator is on the Fed's website at: http://www.federalreserve.gov/apps/mortcalc/