South Carolina Mortgage Calculator

Best mortgage lenders in South Carolina

The most popular mortgage lenders in South Carolina operate nationwide. These include well-known names as Change Home Mortgage, Northpointe Bank, AmeriSave. Several lesser known but trustworthy options include South Carolina-based Tabor Mortgage Group, ABC Mortgage Company.

How to calculate mortgage payment in South Carolina

Use our fast and simple mortgage calculator SC to evaluate your future monthly expenses. Detailed step-by-step instructions are provided below for your convenience.

Why and How to Use Our Mortgage Calculator

Use our calculator South Carolina for thorough planning of your future spendings. Let’s take a closer look at each field in order to gain a better understanding of the mortgage in South Carolina parameters.

The initial factor to consider is the home price, which represents your planned expenditure on the future property. The down payment constitutes the upfront payment portion, and to avoid expensive insurance, it's crucial to aim for at least a 20% down payment, especially in the case of a conventional loan. The remaining sum becomes the principal, typically 80% of the home price when a 20% down payment is made.

The loan term refers to the duration required for full mortgage repayment through scheduled payments. Fixed-rate conforming loans can extend up to 30 years, while adjustable-rate options usually have shorter terms.

The interest rate represents a fixed or variable fraction of the principal that you must pay throughout the loan's duration. It's important to note that you are actually charged an annual percentage rate (APR), which is not identical to the interest rate. While the interest rate forms the majority of the APR, the latter encompasses various fees such as origination fees, closing costs, insurance payments, and more.

For a more accurate assessment, the interest rate used in these calculations is based on the current mortgage rates in South Carolina, considering a $400,000 home price and a 10% down payment.

Median property taxes in South Carolina counties

The property tax is another important thing to consider when selecting your future house. Many lenders insist on setting up a mortgage escrow account to ensure the borrower’s keeping up with the tax and insurance costs.

Source: American Communities Survey 2016, U.S. Census

South Carolina Housing Market 2024

The past year has seen a steep increase in the market value of housing in South Carolina. This continues a longstanding trend amplified by the COVID pandemic. Nevertheless, the pace of growth has diminished compared to the previous year, while both purchase and refinance rates have been on the increase for some time and are expected to rise further in the near future.

How do I calculate my mortgage payment?

The most convenient way to do this is to make use of our calculator. It's powered by a simple formula, which you can also use to calculate the amount to be paid by hand:

M = P*i(1 + i)^n / (1 + i)^n – 1

M – estimated monthly mortgage payment;

P – principal;

I – monthly interest rate (to determine it, divide your annual mortgage rate by 12);

N – the loan term expressed in months (in other words, the overall number of monthly payments)

Imagine you are applying for a 15-year mortgage loan with a fixed 6.99% APR (which is .0699 as a unit fraction). The house costs $500k, with 10% ($50,000) to be paid down. The principal amount (P) will be equal to 90% of the initial home cost ($500,000 – $50,000 = $450,000).

I = .0699 % / 12 = .005825%.

Finally, let’s convert the loan length from years to months: N = 15 * 12 = 180.

M ($) = 450,000*.005825(1 + .005825)^180 / (1 + .005825)^180 – 1 ≈ 4042.

So, you are going to pay about $4042 a month.

It is important to note that the calculated M value is approximate, as no extra fees are taken into account.

Tips for first-time home buyers in South Carolina

First, there are several federal agencies (USDA, FHA and VA) that guarantee loans for selected borrowers. Many first-time homebuyers can find options which most fit their budget.

Besides these government-guaranteed programs, it is worth considering some offers from UHC (South Carolina Housing Corporation) available to South Carolinans. In particular, first-time home buyers can apply for FirstHome – down payment and closing costs assistance program, if they qualify for a FHA loan and their FICO score is at least 660. This option covers up to 6% of the loan amount toward down payment and/or the closing costs. It is important to note that this option comes in the form of a 30-year-fixed-rate second loan only. If you do not qualify for the FirstHome program, do not despair. South Carolina Housing Score Loan is an alternative program that covers up to 4%. The minimum satisfactory credit score is 620.

Useful tips for first-timers:

1. Get pre-approved beforehand. This will increase your creditworthiness in the home sellers’ eyes. It is highly recommended to get the pre-approval letters from not only one, but at least two different lenders.
2. Compare different mortgage rates. Choose at least three lenders. The more, the better.
3. Do preliminary calculations based on the amount you have been pre-approved for. Plan your future expenses.
4. Set aside for a down payment as much as possible – and as early as possible. The down payment will decrease the principal amount, which, in turn, can reduce your potential expenses. So it is important to start saving in advance.
5. If you are eligible for a VA loan, consider this option first of all.
6. Consider government-backed plans, as well as local assistance programs. There can be tempting offers – don't miss the boat.
7. If possible, work on paying off any existing debts to improve your financial standing and enhance your chances of securing a mortgage.