Interactive Calculators: Compare 2 Mortgages
Both the Internal Rate of Return and the Annual Percentage
Rate give an annual interest rate which accurately reflects
every payment made on the loan, including fees and costs.
The main difference between APR and the Internal Rate of Return,
is that APR is always measured over the full life of a loan
term, whereas the Internal Rate of Return allows you to compare
the products over any length of time. This is more suitable
when you consider that the average life of a mortgage is only
6 or 7 years.