About this tool
This mortgage calculator is built for home buyers who want to see the real monthly cost of a house, not just the loan payment.
A fixed-rate mortgage payment uses the standard amortization formula: payment = loan x r / (1 - (1 + r)^-n), where r is the annual rate divided by 12 and n is the number of monthly payments.
Early payments are mostly interest, and the share of principal grows every month, which is why the yearly amortization table matters.
The loan amount is the home price minus your down payment, and you can enter the down payment as a dollar amount or a percentage.
Many lenders also collect property tax and homeowners insurance into an escrow account, so we add them to the monthly total along with any HOA fee.
Private mortgage insurance (PMI) is an optional estimate: it often applies when the down payment is under 20% and usually can end once the balance falls to about 78-80% of the home value, but the rules depend on your lender.
You can also test an extra monthly payment to see how many months and how much interest you save.
For example, a 400,000 dollar home with 20% down at 6.5% over 30 years costs about 2,022.62 dollars a month in principal and interest.
This is an estimate for reference only and does not replace advice from a financial professional or your lender.
How to use
- Enter the home price and your down payment as an amount or a percentage, then choose the loan term and annual interest rate.
- Optionally add property tax, home insurance, HOA fees, a PMI rate or an extra monthly payment.
- Read your estimated monthly payment, total interest and payoff date, and open the yearly table to see how the balance falls.