Calculate-Compare-Decide
Estimate your full monthly payment — principal, interest, taxes, insurance, PMI and HOA — then explore your amortization schedule, how extra payments save interest, what you can afford, and compare two loans side by side.
Loan balance falling, and how each year's payments split between principal and interest.
Based on your income, monthly debts and a target debt-to-income ratio, using the rate, term, tax and insurance above.
Your current loan (A) versus an alternative rate and term (B) — same home price and down payment.
A mortgage calculator estimates your monthly home loan payment from the loan amount, interest rate and loan term, and can add property taxes, homeowners insurance, PMI and HOA fees for a full monthly figure. It also shows your total interest, payoff date and amortization schedule, and reveals how extra payments reduce interest and shorten the loan.
Principal and interest use M = P × r(1+r)ⁿ ÷ ((1+r)ⁿ − 1), where P is the loan amount, r is the monthly rate (annual ÷ 12) and n is the number of payments. Property tax, insurance, PMI and HOA are added on top for the total monthly payment (PITI).
Worked example. A $320,000 loan at 6.5% for 30 years: r = 0.065 ÷ 12 = 0.005417, n = 360. That gives a principal-and-interest payment of about $2,023/month. Add $400 for taxes, $150 for insurance and any PMI or HOA, and you have your true monthly cost. Over 30 years, that loan pays roughly $408,000 in interest — which is why the rate, term and extra payments matter so much.
PMI. If your down payment is under 20%, private mortgage insurance is added until your balance reaches about 80% of the home's value, then it drops off — this calculator models that automatically.
| Term | Monthly P&I | Total interest | Total paid |
|---|---|---|---|
| 30 years | $2,023 | $408,142 | $728,142 |
| 15 years | $2,788 | $181,779 | $501,779 |
The 15-year payment is ~38% higher but saves ~$226,000 in interest.
| Rate | Monthly P&I |
|---|---|
| 5.0% | $1,718 |
| 5.5% | $1,817 |
| 6.0% | $1,919 |
| 6.5% | $2,023 |
| 7.0% | $2,129 |
| 7.5% | $2,237 |
| Down | On $400k | PMI? |
|---|---|---|
| 3% | $12,000 | Yes |
| 5% | $20,000 | Yes |
| 10% | $40,000 | Yes |
| 20% | $80,000 | No |
P&I ≈ $1,264/mo; ~$255k interest over 30 years.
P&I ≈ $1,896/mo; ~$383k interest.
P&I ≈ $3,160/mo; ~$638k interest.
$380k loan + PMI until 20% equity — factor ~$158/mo PMI early on.
P&I ≈ $2,788/mo, saving ~$226k interest vs 30-yr.
Pays off ~3 years early and saves ~$60k in interest.
Half-payments every 2 weeks pay off ~5–6 years early.
On $320k, drops P&I ~$155/mo — weigh against closing costs.
A mortgage is a loan secured by your home: the lender advances most of the purchase price, and you repay it over 15 to 30 years while the home serves as collateral. Each monthly payment is split between principal (paying down the balance) and interest (the cost of borrowing), and most lenders also collect property taxes and insurance to pay on your behalf. Understanding how those pieces fit together is the difference between guessing at affordability and planning with confidence.
Your principal-and-interest payment comes from a standard amortization formula that spreads the loan evenly across every month of the term. Early on, most of each payment is interest because the balance is large; over time the split tilts toward principal. That's why the first years of a 30-year loan build equity slowly — and why extra principal payments early are so powerful.
The four classic parts of a payment are principal, interest, taxes and insurance — "PITI." Taxes and insurance usually flow through an escrow account: the lender collects one-twelfth of your annual bills each month and pays them when due, so your payment can change year to year as tax assessments and premiums shift. HOA dues, where they apply, are typically paid separately rather than through escrow.
If you put down less than 20%, lenders require private mortgage insurance to protect against default. It commonly costs 0.3–1.5% of the loan per year and, by federal law, ends automatically once your balance reaches 78% of the original value; you can request cancellation at 80%. A 20% down payment avoids PMI entirely, lowers your payment and reduces total interest — but putting down less to preserve cash or buy sooner can still be the right call.
Property taxes vary enormously by location — from well under 1% of value in some states to over 2% in others — and they're reassessed periodically. Homeowners insurance protects the structure and your belongings and is required by lenders. Both are real, ongoing costs that many first-time buyers underestimate, which is why this calculator folds them into the monthly figure rather than showing principal and interest alone.
A fixed-rate mortgage locks your rate for the life of the loan, giving predictable payments. An adjustable-rate mortgage (ARM) starts lower but can rise after an initial fixed period, which suits buyers who expect to move or refinance before the adjustment. Fixed rates dominate because certainty is valuable, but an ARM can make sense for a short expected stay or a falling-rate environment.
The term is the single biggest lever on total cost. A 30-year loan keeps payments low and affordable but stretches interest across decades. A 15-year loan roughly raises the payment by a third yet can cut total interest by more than half and builds equity far faster. Many buyers take a 30-year loan for flexibility, then pay it like a 15-year when they can — capturing most of the savings without being locked into the higher payment.
Because interest is charged on the outstanding balance, every extra dollar of principal saves future interest and shortens the loan. Adding even $100–$200 a month can trim years off a 30-year mortgage and save tens of thousands. Biweekly payments — half your monthly amount every two weeks — quietly add up to one extra full payment a year and produce a similar acceleration. The extra-payment simulator here shows your exact savings.
Refinancing replaces your loan with a new one, usually to capture a lower rate, change the term, or tap equity. The key test is the break-even point: divide your closing costs by the monthly savings to see how many months until you come out ahead. If you'll stay in the home past that point, refinancing can pay off; if you might move sooner, the upfront costs may outweigh the benefit.
The frequent missteps are predictable: shopping by monthly payment alone while ignoring total interest, forgetting taxes and insurance, stretching to the maximum a lender approves, and skipping rate comparison across lenders. Get pre-approved, budget for closing costs and a reserve, and remember that the biggest home you can borrow for isn't always the one you should buy. Running realistic numbers first — as you're doing here — is the best financial habit a buyer can build.
A mortgage calculator estimates your monthly home loan payment from the loan amount, interest rate and loan term, and can add property taxes, homeowners insurance, PMI and HOA fees for a full monthly figure. It also shows total interest, your payoff date and an amortization schedule, and can reveal how extra payments reduce interest and shorten the loan.
Principal and interest use the formula M = P × r(1+r)^n / ((1+r)^n − 1), where P is the loan amount, r is the monthly interest rate (annual rate divided by 12), and n is the number of monthly payments. Property tax, insurance, PMI and HOA are added on top to get your total monthly payment, often called PITI.
A typical monthly payment has four parts, known as PITI: principal, interest, taxes and insurance. Lenders usually collect property taxes and homeowners insurance in an escrow account and pay them for you. If your down payment is under 20%, private mortgage insurance (PMI) is added, and homeowners association (HOA) dues may apply separately.
Conventional loans often allow as little as 3–5% down, but putting down less than 20% usually means paying private mortgage insurance until you reach 20% equity. A 20% down payment avoids PMI, lowers your monthly payment and reduces total interest. FHA loans allow 3.5% down; VA and USDA loans can allow 0% down for eligible buyers.
A 15-year mortgage has higher monthly payments but a lower interest rate and far less total interest, building equity faster. A 30-year mortgage has lower, more affordable payments but costs much more interest over time. The right choice depends on your budget and goals; this calculator lets you compare both side by side instantly.
Extra payments go straight to principal, so they reduce the balance that interest is charged on and shorten the loan. Even $100–$200 a month can cut years off a 30-year mortgage and save tens of thousands in interest. Making one extra payment a year, or switching to biweekly payments, has a similar accelerating effect.
Private mortgage insurance protects the lender when your down payment is below 20%. It typically costs 0.3–1.5% of the loan per year. By law, PMI automatically ends once your loan balance reaches 78% of the original home value, and you can usually request cancellation at 80%. Paying down principal faster removes PMI sooner.
No. It provides estimates for educational purposes only. Your actual rate, payment, taxes, insurance, PMI and closing costs depend on your lender, credit, location and loan program. Property tax and insurance figures here are approximations. Always get a Loan Estimate from a lender for exact numbers before making decisions.
A common guideline is that your total monthly housing payment stay under about 28% of gross income, and all debts under about 36–43%. Lenders look at this debt-to-income ratio closely. The affordability tool on this page works backward from your income, debts and a target ratio to estimate a maximum home price and loan amount you could reasonably support.
Most lenders prefer a total debt-to-income (DTI) ratio at or below 36%, though many conventional loans allow up to 43% and some programs go higher. DTI is your monthly debt payments divided by gross monthly income. A lower DTI improves your approval odds and can earn a better rate, so paying down other debts before applying helps.
Yes. Paying half your monthly amount every two weeks results in 26 half-payments — the equivalent of 13 monthly payments — each year instead of 12. That one extra payment goes to principal and can shorten a 30-year loan by four to six years while saving significant interest. Confirm your lender applies biweekly payments to principal and charges no fee.
Discount points are upfront fees — usually 1% of the loan for about a 0.25% rate reduction. Whether they pay off depends on how long you keep the loan: divide the point cost by the monthly savings to find the break-even month. If you'll stay well beyond it, points can be worthwhile; if you may move or refinance sooner, keep your cash.
Conventional loans generally want a score of 620 or higher, while FHA loans can go lower, sometimes to 580 or below with a larger down payment. Higher scores unlock better interest rates, which meaningfully lowers your payment and total interest. Checking and improving your credit before applying is one of the highest-return steps a buyer can take.
Refinancing can make sense when rates drop enough to cover the closing costs within a reasonable time, when you want to shorten your term, or when removing PMI or tapping equity is the goal. Calculate the break-even point — closing costs divided by monthly savings — and refinance only if you'll stay in the home past it.
Yes. The share button copies a link that encodes all your inputs, so you can revisit your scenario later or send it to a partner or lender. You can also print or save the results and amortization schedule as a PDF. Everything runs in your browser — none of your figures are uploaded or stored on a server.