This is your marginal tax rate, the rate at which each additional dollar of income will be taxed. If you pay only Federal income taxes, it is the highest tax bracket you used when you calculated your taxes. Federal tax brackets currently are: 10%, 15%, 25%, 28%, 33%, and 35%. If you also pay state and/or local income taxes, these marginal rates can be added to the Federal rate. For example, if you had to pay 25% to the IRS and 5% to the state of Pennsylvania, your tax bracket is 30%. To perform a "pre-tax" analysis enter zero (0) as the tax rate.Mortgage Insurance is now tax deductible if your income is $100,000 or less for a couple, $50,000 or less for a single person.Because points and other fees are paid upfront, longer holding periods reduce the interest cost of high-point/low-rate loans relative to low-point/high-rate loans.Down payment as a percent of sale price or property value, whichever is lower.Any number up to 10 will be assumed to be a percent of the loan amount. Any number above 10 will be treated as a dollar amount.Can be entered as a positive or negative amount. If negative, any amount in excess of All Other Fees Paid to Lender will be retained by the loan provider.This affects the after-tax interest cost because on a purchase transaction points are fully deductible in the first year whereas on a refinance the deduction must be spread over the life of the loan, with the remaining portion of the deduction taken in the year the loan is paid in full.Given the down payment and term you have selected, the numbers shown are typical annual premium rates for "monthly premium plans" that involve no upfront premium. You can override these numbers if you are quoted different rates for monthly premium plans.
