Which Loan is Better? This calculator will compare two mortgages: one with a lower interest rate and one with fewer points. Mortgage A (Lower interest rate) Mortgage B (Fewer points) $ Monthly Payment $ Monthly Payment Years You Plan on Living in the House Years You Plan on Living in the House $ Prepayment Penalty $ Prepayment Penalty $ Dollar Amount of Points $ Dollar Amount of Points $ Principal Remaining When You Vacate Premises $ Principal Remaining When You Vacate Premises Total Cost Total Cost If the total cost for each of the two mortgages is reasonably close, choose the one with the lower annual percentage rate (APR). However, if the APR's are close and there is a significant difference in the total cost, you are probably better off choosing the mortgage with the lower long-run cost. Note: This calculator is provided to give you a general idea. We cannot guarantee the accuracy or the applicability to your situation. Please consult with Lisa Gibbs.