Mortgage Calculator
Your complete monthly housing payment, including property tax, insurance, PMI and HOA, with the interest you will pay over the life of the loan.
Estimated monthly payment
$2,514
- Principal & interest
- $2,023
- Property tax
- $367
- Insurance
- $125
- Loan amount
- $320,000
- Total interest
- $408,142
- Total of P&I payments
- $728,142
Where each year’s payments go
Amortization schedule
| Year | Paid | Principal | Interest | Balance |
|---|---|---|---|---|
| 1 | $24,271 | $3,577 | $20,695 | $316,423 |
| 2 | $24,271 | $3,816 | $20,455 | $312,607 |
| 3 | $24,271 | $4,072 | $20,200 | $308,535 |
| 4 | $24,271 | $4,345 | $19,927 | $304,191 |
| 5 | $24,271 | $4,636 | $19,636 | $299,555 |
| 6 | $24,271 | $4,946 | $19,325 | $294,609 |
| 7 | $24,271 | $5,277 | $18,994 | $289,332 |
| 8 | $24,271 | $5,631 | $18,641 | $283,701 |
| 9 | $24,271 | $6,008 | $18,264 | $277,694 |
| 10 | $24,271 | $6,410 | $17,861 | $271,284 |
| 11 | $24,271 | $6,839 | $17,432 | $264,444 |
| 12 | $24,271 | $7,297 | $16,974 | $257,147 |
| 13 | $24,271 | $7,786 | $16,485 | $249,361 |
| 14 | $24,271 | $8,308 | $15,964 | $241,053 |
| 15 | $24,271 | $8,864 | $15,407 | $232,189 |
| 16 | $24,271 | $9,458 | $14,814 | $222,732 |
| 17 | $24,271 | $10,091 | $14,180 | $212,641 |
| 18 | $24,271 | $10,767 | $13,505 | $201,874 |
| 19 | $24,271 | $11,488 | $12,784 | $190,386 |
| 20 | $24,271 | $12,257 | $12,014 | $178,129 |
| 21 | $24,271 | $13,078 | $11,193 | $165,051 |
| 22 | $24,271 | $13,954 | $10,317 | $151,097 |
| 23 | $24,271 | $14,888 | $9,383 | $136,208 |
| 24 | $24,271 | $15,886 | $8,386 | $120,323 |
| 25 | $24,271 | $16,949 | $7,322 | $103,373 |
| 26 | $24,271 | $18,085 | $6,187 | $85,289 |
| 27 | $24,271 | $19,296 | $4,976 | $65,993 |
| 28 | $24,271 | $20,588 | $3,683 | $45,405 |
| 29 | $24,271 | $21,967 | $2,305 | $23,438 |
| 30 | $24,271 | $23,438 | $833 | $0 |
Explain my numbers
Get a plain-English reading of the result above: what drives it, what the trade-offs are and what to ask a lender or adviser. It is educational, not financial advice. Only these inputs and results are sent, and nothing is stored.
How to use the mortgage calculator
Enter the price you expect to pay and your down payment, then the rate from a lender’s Loan Estimate, not an advertised teaser. Property tax is entered as a percentage of the price because that is how most county rates are quoted; the US median effective rate is roughly 1%, but it ranges from well under 0.5% to above 2% depending on the state. Insurance is the annual premium from a quote.
The dark result panel shows everything you would actually pay each month. The chart underneath makes the early-years problem visible: in year one of a 30-year loan at 6.5%, around four of every five dollars of principal and interest go to interest.
The formula
M = P · r(1 + r)n ÷ ((1 + r)n − 1)
P is the amount borrowed, r is the annual rate divided by 12, and n is the number of monthly payments (360 for 30 years). For $320,000 at 6.5% over 30 years, r = 0.0054167 and M = $2,022.62.
Ways to lower the payment
- Reach 20% down to avoid PMI on a conventional loan.
- Shop the rate. On a $320,000 loan, every 0.25% is roughly $50 a month.
- Appeal the assessment or check homestead exemptions if your property tax looks high.
- Pay extra principal later on; see the mortgage payoff calculator.
Frequently asked questions
What is included in a mortgage payment?
Most payments are PITI: principal, interest, property taxes and homeowners insurance. If you put down less than 20% on a conventional loan you usually also pay private mortgage insurance (PMI), and condos or planned communities may add HOA dues. Taxes and insurance are often collected by the lender through an escrow account.
How is the monthly mortgage payment calculated?
Principal and interest use the standard amortization formula M = P × r(1+r)^n / ((1+r)^n − 1), where P is the loan amount, r the monthly rate (annual rate ÷ 12) and n the number of monthly payments. Taxes, insurance, PMI and HOA are then added on top.
When does PMI go away?
Under the US Homeowners Protection Act, PMI on a conventional loan must end automatically when your balance is scheduled to reach 78% of the home’s original value, and you can ask to cancel it at 80%. FHA mortgage insurance follows different rules and often lasts the life of the loan.
Is a 15-year or 30-year mortgage better?
A 15-year loan has a higher payment but usually a lower rate and far less total interest. A 30-year loan keeps the payment lower and more flexible. Try both terms above and compare the total interest line.
How accurate is this mortgage calculator?
The principal and interest figure is exact for a fixed-rate loan. Taxes, insurance and PMI are estimates: use your county’s tax rate and a real insurance quote for a closer number. Lenders may also round differently by a few cents.