Mortgage Calculators: Ranking
FEB 17, 2024
In The Ideal Mortgage Calculator, I laid down the criteria for a customer-friendly mortgage calculator, distinct from what banks might prioritize. With these standards as a guide, I've conducted a review of various mortgage calculator web pages available in different countries. It's worth mentioning that this review isn't comprehensive; it covers a selection of calculators and may overlook some noteworthy examples.
Firstly, it's notable that none of the calculators reviewed offer 'shareability' features, so this criterion was excluded from our evaluation. Instead, we focused on evaluating the calculators based on value, discreteness, flexibility, UI (User Interface), and the accuracy of estimates, grading them from A (good) to D (bad).
Interestingly, the quality of calculators varies widely, spanning the entire spectrum from A to D. Even calculators from very similar institutions, such as Sparkasse Bodensee and Sparkasse Hochrhein, which are part of the same banking group and presumably have access to the same standard toolkit, show significant differences in their performance against these criteria.
In terms of geographical coverage, my review included mortgage calculators from banks in Switzerland, Germany, Poland, and Russia. Remarkably, on average, the further east the country, the better the quality of the tools. At first glance, this might come as a surprise. However, it becomes more understandable when considering the rapid pace of digitalization in Central and Eastern Europe, which, starting from a lower baseline of bureaucracy, may have embraced more innovative and user-friendly digital solutions.
Switzerland
A few established players dominate the retail market and have little incentive to put much effort into their mortgage calculators. The focus is also on the check if client meets the regulatory requirements (Tragbarkeit).
Raiffeisen - C
value: D - almost no value is offered, except for eligibility discreteness: D - having offered close to no value, they already try to get you hooked UI: B/C - cool circle diagram, but this is it flexibility: D - one can't change anything in the calculation
ZKB - C
value: C - focus on eligibility, the month rate is calculated with zero amortization discreteness: C - asking to capture the real property data which doesn't influence the calculation flexibility: D - zero flexibility for loan parameters UI: C - cool animation for circle diagram, but this is it
PostFinance - B/C
value: B discreteness: B (why the birth year is needed?) flexibility: C - for the loan relevant parameters, you can set only the loan amount UI: **Cv - it's grey, filled with numbers, if you want to change the optimized parameter, you need to go back
Germany
The regulatory framework is different than in Switzerland (less strict), thus, the focus is different. Actually, the best German mortgage calculator on this list is not a bank.
Sparkasse Bodensee - B/C
value: B discreteness: C - why asking for ZIP code, employment status etc? flexibility: B/C - you can't change the interest rate or duration, they give you 4 combos of duration and rates UI: B
DKB - C
value: C discreteness: D - they want to know too much - ZIP code, you employment status etc before offering any information flexibility: C - there's some flexibility in amortization rate or monthly rate, however, one has to go back to change anything. Loan period can't be adjusted. UI: C - not bad visually, however, one has to do quite a few clicks before getting somewhere
immobilienscout24.de - B
no direct link - one needs to chose a property object first
value: B - good overview of the costs discreteness: C - one gets to the mortgage calculator over a chosen property, thus, one provides ZIP code, etc flexibility: B/C - first page isn't that flexible the amortization (Tilgungsrate) is set low (1%) so that it results in the low monthly rate and make it look attractive UI: B - actually nice visual breakdown of cost shareability: indirect sharable, one shares the real property object, and, thus, indirectly the loan amount
Central Eastern Europe
I've listed from CEE one Polish banks and two Russian banks, the quality is quite high. Also I've checked a few mortgage calculators from the Baltic countries, they would be evaluated high as well. Thus, on average the quality is much higher as in DACH (Germany, Austria, Switzerland) region.
Millenium (Poland) - A/B
value: B - one get some important information like loan period and amount, monthly rate, interest rate, eligibility check on top discreteness: A - they are quite discrete about it, only one contact flexibility: B - one can vary the loan period, and the loan amount, but no more that that. UI: B - one can switch between eligibility and loan structure shareability: B - one can actually download the pdf with some information
Sberbank - A
value: A discreteness: B/C flexibility: A UI: A
Tinkoff - B
value: A discreteness: C flexibility: A UI: C - too many clicks to get to the dashboard