Mortgage Calculator
Calculate your monthly mortgage payment, total interest, and see how different down payments and interest rates affect your home loan.
Monthly Payment
$1,516.96
Total Interest
$306,106.77
Total Payment
$546,106.77
Mortgage Summary
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How to Use the Mortgage Calculator
Our mortgage calculator helps you understand the true cost of homeownership. Here's how to use it:
- Enter Home Price: Input the total purchase price of the home.
- Set Down Payment: Enter the amount you plan to put down as a down payment.
- Set Interest Rate: Enter the mortgage interest rate from your lender.
- Choose Loan Term: Select 15, 20, or 30 years, or enter a custom term.
- View Results: See your monthly payment, total interest, and total cost.
Mortgage Calculation Formula
The monthly mortgage payment is calculated using the standard amortization formula:
M = P × [r(1+r)^n] / [(1+r)^n - 1]
Where:
- M = Monthly mortgage payment
- P = Loan amount (home price - down payment)
- r = Monthly interest rate (annual rate / 12 / 100)
- n = Total number of payments (years × 12)
Example Mortgage Calculation
Here's an example of a typical 30-year mortgage:
Impact of Down Payment on Monthly Payment
A larger down payment reduces your loan amount, which means lower monthly payments and less total interest paid. Here's how down payment percentages affect a $300,000 home with 6.5% interest over 30 years:
Key Features of Our Mortgage Calculator
- ✓Instant Calculations: See results in real-time as you adjust values.
- ✓Down Payment Options: Adjust down payment to see its impact.
- ✓Multiple Loan Terms: Compare 15, 20, and 30-year mortgages.
- ✓Interest Rate Slider: See how rate changes affect payments.
- ✓Clear Breakdown: See principal, down payment, and total costs.
- ✓Completely Private: No data stored or shared.
Frequently Asked Questions
What's a typical down payment?
20% is considered a standard down payment, but you can put down as little as 3-5%. A larger down payment reduces your loan amount and may help you avoid PMI (Private Mortgage Insurance).
Does this calculator include property taxes and insurance?
No, this calculator shows only the principal and interest portion of the mortgage payment. Property taxes, homeowners insurance, and HOA fees vary by location and property.
What's PMI and do I need it?
PMI (Private Mortgage Insurance) is required if you put down less than 20%. It protects the lender in case you default. You can typically remove it once you reach 20% equity.
How do interest rates affect my mortgage?
Interest rates directly impact your monthly payment and total interest paid. A 1% difference in interest rate can significantly affect your monthly payment and the total cost over 30 years.
Which loan term should I choose?
A 30-year mortgage has lower monthly payments but higher total interest. A 15-year mortgage has higher payments but costs less overall. Choose based on your budget and financial goals.