Mortgage Calculator
Calculate your monthly mortgage payment, total interest, and full amortization schedule. Includes PMI, property taxes, and homeowner's insurance for a complete picture.
Mortgage Calculator
Monthly payment & amortization
Loan Details
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Monthly Extras (Optional)
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Monthly Payment
$2,278
Loan Amount
$280,000
Principal & Interest$1,769
Property Tax$292
Home Insurance$100
PMI$117
HOA Fees$0
Total Interest Paid$336,955
Total Cost of Loan$616,955
Payoff DateMay 2055
Payment Breakdown
PMI Note: Since your down payment is below 20%, PMI is automatically included. PMI is removed once you reach 20% equity in your home — saving you hundreds per month.
📊 Balance Over Time
📋 Amortization Schedule
| Period | Payment | Principal | Interest | Balance |
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How to Use the Mortgage Calculator
Our mortgage calculator gives you a complete picture of your home loan. Enter your home price, down payment, interest rate, and loan term to get your monthly payment instantly. Add property taxes, insurance, PMI, and HOA fees for a fully accurate total. To compare with a general loan, see our loan calculator. For car financing, use our auto loan calculator.
🔑 Key Components of a Mortgage
- Principal: The original loan amount borrowed from the lender.
- Interest: Cost of borrowing, expressed as an annual percentage rate (APR).
- Property Tax: Annual tax to local government, typically 1–2% of home value.
- Home Insurance: Protects against property damage, typically $800–$2,000/year.
- PMI: Required when down payment is below 20% — usually 0.5%–1.5% of loan amount annually.
- HOA: Homeowners Association fees for community maintenance.
📐 Mortgage Formula Explained
The standard mortgage payment formula is:
M = P × [r(1+r)ⁿ] / [(1+r)ⁿ - 1]
- M = Monthly payment
- P = Principal loan amount
- r = Monthly interest rate (annual ÷ 12)
- n = Total number of payments (years × 12)
Example: $280,000 at 6.5% for 30 years → $1,769/month (P&I only)
💡 Smart Repayment Strategies
- Bi-weekly payments: Pay half monthly amount every two weeks — cuts years off your loan.
- Extra principal payments: Even $100/month extra saves tens of thousands over 30 years.
- Refinance when rates drop: If rates fall 1%+ below your current rate, refinancing saves significantly.
- Put 20% down: Avoid PMI costs and get better rates.
- Shorter term: A 15-year mortgage saves 50–60% in total interest vs a 30-year.
🏦 Types of Mortgages
- Fixed-Rate: Interest stays the same for life of loan. Best for stability and long-term planning.
- Adjustable-Rate (ARM): Rate changes after initial fixed period. Lower start rate but riskier.
- FHA Loan: Government-backed, lower down payment (3.5%), easier to qualify.
- VA Loan: For veterans and military — no down payment required.
- Jumbo Loan: For home prices above conforming loan limits ($766,550 in 2024).
Frequently Asked Questions
Your monthly mortgage payment is calculated using the amortization formula: M = P[r(1+r)^n]/[(1+r)^n-1]. The payment covers principal and interest, plus property taxes, insurance, and PMI if applicable. Our mortgage calculator handles all of this automatically and also provides a full amortization schedule.
In 2026, rates for a 30-year fixed mortgage typically range from 5.5% to 7.5%. Borrowers with credit scores above 760 generally qualify for the best rates. Rates vary based on Federal Reserve policy, economic conditions, and your personal credit profile. Always compare multiple lenders before committing.
A common rule is the 28/36 rule: housing costs should not exceed 28% of your gross monthly income, and total debt payments should not exceed 36%. For example, if you earn $6,000/month, your maximum mortgage payment should be around $1,680. Use our mortgage calculator to find the home price that fits your budget.
PMI (Private Mortgage Insurance) automatically cancels when your loan balance reaches 78% of the original home value (22% equity). You can also request cancellation at 80% LTV (20% equity). This can save you hundreds of dollars per month. Our calculator shows when PMI applies based on your down payment percentage.
A 15-year mortgage has higher monthly payments but saves significantly on total interest — often 50–60% less than a 30-year loan. A 30-year mortgage offers lower monthly payments and more cash flow flexibility. Use our mortgage calculator to compare both options side by side using the Loan Term dropdown.