Calculator

Mortgage Calculator

Estimate your full monthly home payment and see where the money goes.

UNDERSTAND THE ANSWER

How is this calculated?

P is the loan principal, r is the interest rate per payment period, and n is the total number of payments. Taxes, insurance, PMI, HOA and other costs are converted to the selected payment frequency and added after principal and interest.

Fixed-payment mortgage formulaM = P × [r(1 + r)ⁿ] ÷ [(1 + r)ⁿ − 1]

A practical example

A $400,000 home with $80,000 down creates a $320,000 loan. At 6.25% for 30 years, principal and interest are about $1,970 per month before taxes and insurance.

COMMON QUESTIONS

Quick answers

How is PMI estimated?

When loan-to-value is above 80%, the annual PMI rate is applied to the original loan amount. The schedule stops estimated PMI after the balance reaches 80% of the original home price; actual lender cancellation rules vary.

Why can my lender estimate differ?

Lenders may use different tax, insurance, escrow and fee assumptions. This is a planning estimate, not a loan offer.

How much house can I afford?

Start with a payment that leaves room for debt, maintenance, utilities and savings. Lender approval limits are not the same as a comfortable budget.

How does a larger down payment change the mortgage?

It lowers the loan balance, monthly principal and interest, and may reduce or eliminate PMI.

What is included in a monthly mortgage payment?

This estimate can include principal, interest, property tax, homeowners insurance, HOA dues and PMI.

Does making extra payments reduce interest?

Yes. When extra money is applied to principal, future interest is calculated on a smaller balance and the loan can end sooner.

Is a 15-year mortgage always better than a 30-year mortgage?

A 15-year term usually costs less interest but requires a higher payment. The right choice depends on cash flow, rate and other goals.

Calculation assumptions

The interest rate stays fixed for the full selected term.
Payments follow the selected monthly or biweekly frequency and extra payments reduce principal immediately.
Property tax, insurance, HOA and other costs remain constant; estimated PMI stops after the balance reaches 80% of the original home price.