Florida Mortgage Payment Calculator
🏛️ Florida Tax & Cost Considerations
As a Miami resident and benefits from no state income tax, your mortgage vs. investment decision should consider the city's unique market dynamics, local costs, and specific financial factors that differ from state averages.
💡 Key Tax Highlights:
- Property taxes at 1.02% are within typical ranges
🎯 Payment Considerations:
- High cash buyer competition (65%) may affect market timing
- Flood insurance requirements add $2800/year to ownership costs
- Hurricane insurance requirements add $1500/year
- New condo reserve requirements significantly impact HOA fees
- Hurricane season affects insurance costs and property maintenance
- International buyer activity creates all-cash competition
🏙️ Miami Payment Factors
Calculate your monthly mortgage payment in Miami with accurate local costs including property taxes, insurance rates, and fees that vary significantly from national averages.
💰 Payment Factors:
- Property taxes (1.02%) are within typical ranges
- Typical HOA fees of $450/month add to total housing costs
🏠 Local Costs:
- Flood insurance required: $2800/year
- Hurricane insurance: $1500/year
- Parking costs: $150/month
- Hurricane insurance required, adding $1,500+/year
- Flood insurance required for 40% of properties
- New condo reserve requirements increase HOA fees
- No state income tax increases affordability
- High cash buyer competition may require stronger financing
Loan Details
Florida Costs
Payment Breakdown
Understanding Mortgage Rates: APR vs Rate vs Points
🏷️ Interest Rate
The interest rate is the annual cost of borrowing money, expressed as a percentage. This is what you see advertised and what's used to calculate your monthly principal and interest payment.
📊 APR (Annual Percentage Rate)
APR includes the interest rate PLUS additional costs like origination fees, discount points, and some closing costs. It gives you the "true cost" of the loan.
💰 Discount Points
Points are upfront fees you pay to "buy down" your interest rate. Each point typically costs 1% of your loan amount and reduces your rate by ~0.25%.
💡 Should You Buy Points? The Math Behind the Decision
✅ Points Usually Make Sense When:
- You're staying long-term: Need 5-8+ years to break even
- You have extra cash: Better than investing in low-yield accounts
- You want payment certainty: Locked-in lower payment for life
- Tax benefits: Points may be tax-deductible (consult tax advisor)
⚠️ Common Gotchas & When to Avoid:
- Short-term ownership: You'll lose money if you move/refinance early
- Opportunity cost: That cash might earn more in investments (especially in bull markets)
- Cash flow: Don't deplete your emergency fund for points
- Rate environment: If rates are falling, you might refinance soon anyway
- Seller concessions: Sometimes sellers will pay points instead of lowering price
🧮 Quick Break-Even Formula:
Example: $3,000 in points saves $42/month → 71 months (6 years) to break even