Mortgage Calculator

About This Mortgage Calculator

Our free mortgage calculator helps estimate your monthly mortgage payment using your home price, down payment, loan term, and interest rate.

The calculator provides estimated monthly payments, total interest over the life of the loan, and the total amount you'll repay.

Understanding Your Mortgage Payment

A monthly mortgage payment usually consists of four main components often called PITI:

• Principal: The amount borrowed to purchase the home.
• Interest: The cost charged by the lender for borrowing money.
• Taxes: Property taxes collected by your local government.
• Insurance: Homeowners insurance and, in some cases, private mortgage insurance (PMI).

This calculator estimates your principal and interest payment only. Property taxes, insurance, HOA fees, and PMI are not included unless you add them separately.

Home Buying Tips

Ways to Reduce Your Mortgage Payment

• Increase your down payment.
• Choose a longer loan term.
• Improve your credit score before applying.
• Shop around for competitive interest rates.
• Refinance when interest rates decrease.
• Pay extra toward the principal whenever possible.

Benefits of Making Extra Mortgage Payments

Even small extra payments toward your mortgage principal can have a major impact over time.

• Pay off your mortgage years earlier.
• Reduce the total interest paid.
• Build home equity faster.
• Save thousands of dollars over the life of the loan.

What Affects Your Mortgage Payment?

Several factors influence your monthly mortgage payment:

• Home purchase price
• Down payment amount
• Interest rate
• Loan term (10, 15, 20, or 30 years)
• Property taxes
• Homeowners insurance
• Private Mortgage Insurance (PMI)
• HOA fees

Frequently Asked Questions

How much house can I afford?

Most financial experts recommend spending no more than 28% of your gross monthly income on housing expenses. Your affordability also depends on your down payment, credit score, debts, and interest rate.

Does a larger down payment reduce monthly payments?

Yes. A larger down payment reduces the amount you need to borrow, which lowers your monthly mortgage payment and the total interest paid over the life of the loan.

What is a fixed-rate mortgage?

A fixed-rate mortgage keeps the same interest rate throughout the loan term, resulting in consistent monthly principal and interest payments.

Should I choose a 15-year or 30-year mortgage?

A 15-year mortgage usually has higher monthly payments but significantly lower total interest costs. A 30-year mortgage offers lower monthly payments but costs more in total interest.

Does this calculator include taxes and insurance?

No. This calculator estimates only principal and interest payments. Property taxes, homeowners insurance, HOA fees, and PMI should be added separately when estimating your total monthly housing cost.

Mortgage Terms You Should Know

• Principal: The amount borrowed from the lender.
• Interest: The cost of borrowing money.
• Down Payment: The upfront payment made toward the purchase price.
• Loan Term: The number of years to repay the loan.
• Escrow: An account used to pay property taxes and homeowners insurance.
• PMI: Private Mortgage Insurance required for some loans with low down payments.
• Equity: The portion of your home that you truly own.

Disclaimer

The results provided by this Mortgage Calculator are estimates only and are intended for educational purposes. Actual mortgage payments may vary depending on lender requirements, property taxes, insurance premiums, PMI, HOA fees, loan programs, and other costs.