Mortgage Calculator

Enter Loan Details

Home Price ($)

Down Payment ($)

Down Payment (%)

Loan Term (years)

Interest Rate (% APR)

Annual Property Tax ($)

Annual Home Insurance ($)

Monthly PMI ($)

Monthly HOA Fees ($)

Estimated Monthly Payment

Principal & Interest only

Loan Summary

Loan Amount$0

Down Payment$0

Total of All Payments$0

Total Interest Paid$0

Payoff Date-

Loan-to-Value Ratio-

Yearly Amortization Summary

A year-by-year view of your remaining balance. Calculate a payment first to see your schedule. For a full month-by-month breakdown, use the Amortization Schedule Calculator.

Year	Principal Paid	Interest Paid	Remaining Balance
Calculate a payment to see the yearly schedule

How Mortgage Payments are Calculated

Monthly Principal & Interest

M = P × [r(1+r)^n] ÷ [(1+r)^n - 1]

P = Loan amount (home price - down payment)
r = Monthly interest rate (annual rate ÷ 12 ÷ 100)
n = Total number of payments (years × 12)

Worked Example

$400,000 home, $80,000 down (20%), 30-year loan at 6.5% APR:

P = $320,000
r = 6.5 ÷ 12 ÷ 100 = 0.005417
n = 30 × 12 = 360

M = 320,000 × [0.005417 × (1.005417)^360] ÷ [(1.005417)^360 - 1]
M ≈ $2,022 / month (principal & interest)

Full Monthly Payment (PITI)

Total Payment = Principal & Interest + (Annual Property Tax ÷ 12) + (Annual Insurance ÷ 12) + PMI + HOA

Total Interest Over Loan Life

Total Interest = (Monthly Payment × Number of Payments) - Loan Amount

Try These Examples

Click any example to instantly calculate.

$400,000 home, 20% down

30-year loan at 6.5% APR

$300,000 home, 5% down

30-year loan at 6.75% APR (PMI likely required)

$500,000 home, 20% down

15-year loan at 6.0% APR

$250,000 home, 20% down

30-year loan at 6.25% APR

Frequently Asked Questions

The principal and interest portion is calculated with 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 ÷ 12 ÷ 100), and n is the total number of monthly payments (loan term in years × 12). Most lenders also collect 1/12th of your annual property tax, homeowners insurance, and PMI (if applicable) each month, added to the principal and interest to form your full monthly payment - often called PITI.

PMI (Private Mortgage Insurance) is typically required on conventional loans when your down payment is less than 20% of the home price. It protects the lender, not you, if you default on the loan. PMI usually costs 0.5% to 1.5% of the loan amount per year, split into monthly payments. Once you reach 20% equity in your home (through payments or appreciation), you can request PMI be removed - it is automatically removed at 22% equity by law on most loans.

It depends on the loan type. Conventional loans often require as little as 3-5% down. FHA loans require a minimum of 3.5% down. VA loans (for eligible veterans) and USDA loans (for eligible rural properties) can require 0% down. Putting down 20% or more avoids PMI and results in a lower monthly payment, but is not required to qualify for most loan types.

Because mortgages are large, long-term loans, even a small rate difference compounds into a large amount over the loan's life. On a $400,000, 30-year loan, moving from a 6% to a 7% interest rate increases the monthly payment by roughly $270 and adds close to $97,000 in total interest paid over the life of the loan. This is why shopping multiple lenders for rate quotes, and improving your credit score before applying, can meaningfully change what a home actually costs you.

A 30-year mortgage spreads payments over more months, so the monthly payment is lower, but you pay significantly more total interest because the loan balance stays higher for longer. A 15-year mortgage has a higher monthly payment but a much lower interest rate is often available, and the total interest paid is typically less than half of a 30-year loan on the same amount. The right choice depends on whether you prioritize monthly cash flow flexibility (30-year) or paying off the home faster and minimizing total interest (15-year).

Yes - this calculator lets you optionally add annual property tax, annual homeowners insurance, monthly PMI, and monthly HOA fees, and combines them with your principal and interest to show your full estimated monthly housing payment (often called PITI: Principal, Interest, Taxes, Insurance). Leave these fields blank or at zero if you only want the principal and interest portion.

Mortgage Calculator - Estimate Your Monthly Home Loan Payment

A mortgage payment has more moving parts than most people expect. Beyond the loan amount and interest rate, your term length, down payment size, and optional costs like property tax, homeowners insurance, PMI, and HOA fees all affect what actually leaves your bank account every month. This calculator combines all of these into one clear monthly number, plus shows the total interest you will pay over the life of the loan - often a bigger number than the home price itself.

The formula: M = P × [r(1+r)^n] ÷ [(1+r)^n - 1]
Quick example: $400,000 home, 20% down, 30-year loan at 6.5% APR ~$2,022/month (principal & interest)

What Makes Up Your Monthly Mortgage Payment (PITI)

Principal: The portion of your payment that reduces your loan balance. This grows larger each month as you pay down the loan.
Interest: The cost of borrowing, calculated on your remaining balance. This is largest at the start of the loan and shrinks over time.
Taxes: Property taxes, usually collected monthly by your lender and held in an escrow account, then paid to your local government annually.
Insurance: Homeowners insurance, also typically escrowed and paid annually on your behalf.

Together these four make up "PITI" - the standard shorthand lenders use for your full estimated housing payment. If your down payment is under 20%, PMI (Private Mortgage Insurance) is usually added as a fifth cost until you build enough equity.

How Your Interest Rate and Term Affect Total Cost

Lower Rate

Lower monthly payment for the same loan amount
Significantly less total interest over the loan's life
Shop at least 3-5 lenders - rates can vary by 0.25-0.75% for the same borrower
A higher credit score and lower debt-to-income ratio typically unlock better rates

⏱️ Shorter Term

Higher monthly payment, but builds equity much faster
Usually comes with a lower interest rate than a 30-year loan
Total interest paid is often less than half of a 30-year loan on the same amount
Good fit if the higher payment comfortably fits your budget

Tips for Getting the Best Mortgage Terms

Improve your credit score before applying: Even a 20-40 point improvement can move you into a better rate tier.
Save for a larger down payment: 20% down avoids PMI entirely and reduces your monthly payment and total interest.
Get quotes from multiple lenders: Rate shopping within a short window (typically 14-45 days depending on the credit bureau) counts as a single credit inquiry for scoring purposes.
Ask about discount points: Paying upfront points can lower your rate - run the math to see if you will keep the loan long enough to recoup the upfront cost.
Watch the APR, not just the interest rate: APR includes lender fees and gives a more complete picture of the loan's true cost for comparing offers.

How this calculator works, and where the numbers come from

The Mortgage Calculator applies the standard formula for this calculation to the values you enter and updates the result as you type. The calculation itself happens in your browser, and the page explains the method so you can check any result by hand.

Please note: Results are estimates. Lender terms, local taxes and fees vary, so confirm figures with your lender or a qualified adviser.

Sources and further reading

Learn more

Read our guide: How EMI Is Calculated, With a Full Worked Loan Example

Last reviewed: October 6, 2026 by the CalcQube Editorial Team. See our editorial policy for how we build and check calculators, or report an error.