Mortgage Calculator
Calculate your monthly mortgage payment including principal, interest, property tax, homeowners insurance, PMI, and HOA fees. See the full amortization schedule and total interest paid over the life of the loan.
How to Use the Mortgage Calculator
Enter the home price and your down payment. The calculator shows the down payment as a percentage automatically. Add the interest rate, choose a term (30, 20, 15, or 10 years), and fill in the annual property tax and homeowners insurance for your area. If the property has HOA fees, enter the monthly amount.
If your down payment is less than 20%, private mortgage insurance (PMI) is usually required. Enter the PMI rate your lender quoted (typically 0.3%–1.5% of the loan amount per year) and the calculator will include it in the monthly payment.
Mortgage Payment Formula
The principal-and-interest portion of a fixed-rate mortgage is calculated using the standard amortization formula:
M = P × [ r(1 + r)^n ] / [ (1 + r)^n − 1 ]
- M = monthly principal and interest
- P = loan amount (home price − down payment)
- r = monthly interest rate (APR ÷ 12 ÷ 100)
- n = total number of payments (years × 12)
What Goes Into a Monthly Payment
- Principal — the portion that reduces your loan balance
- Interest — the lender's charge on the remaining balance
- Property tax — usually collected monthly in an escrow account
- Homeowners insurance — required by most lenders
- PMI — required if your down payment is below 20%, drops off once you reach 20% equity
- HOA fees — if the property is in a homeowners association
Tips for US Home Buyers
- A 20% down payment avoids PMI — usually the largest single savings.
- A 15-year loan has a higher monthly payment but saves tens of thousands in interest.
- Make one extra payment per year and you can cut several years off a 30-year mortgage.
- Compare the APR, not just the interest rate — APR includes lender fees.