Mortgage Calculator
Calculate monthly mortgage payments with taxes & insurance
Mortgage Calculator
Enter your loan details
Typically required when down payment < 20%
Your Monthly Payment
About Mortgage Calculator
The Mortgage Calculator helps you estimate your monthly home loan payments including principal, interest, property taxes, home insurance, and PMI. Whether you're a first-time homebuyer or looking to refinance, this tool provides accurate payment estimates.
Use it to plan your home purchase budget, compare different loan terms (10, 15, 20, or 30 years), and understand how much house you can afford. The calculator also shows your total interest paid over the life of the loan and your loan-to-value ratio.
How to Use This Mortgage Calculator
Step 1: Enter the home price you're considering.
Step 2: Enter your down payment (as amount or percentage).
Step 3: Select loan term (10, 15, 20, or 30 years).
Step 4: Enter the interest rate offered by your lender.
Step 5: (Optional) Enter property tax, home insurance, and PMI for accurate total payment.
Step 6: Click "Calculate Mortgage" to see your monthly payment breakdown.
Step 7: Use the Reset button to clear all inputs and try different scenarios.
Why Use a Mortgage Calculator?
✓ Budget Planning
Know exactly what your monthly payment will be before you buy. Plan your household budget with confidence.
✓ Compare Loan Offers
Compare different interest rates and loan terms from multiple lenders. Find the most affordable option.
✓ Down Payment Planning
See how different down payment amounts affect your monthly payment. Find the sweet spot between upfront cost and monthly payment.
✓ Total Cost Visibility
See total interest paid over the life of the loan. Understand the true cost of homeownership.
Mortgage Rates by Credit Score (2025-26)
| Credit Score | Avg. Interest Rate | Monthly Payment ($300K loan) |
|---|---|---|
| 760+ | 6.5% | $1,896 |
| 700-759 | 6.9% | $1,975 |
| 660-699 | 7.4% | $2,075 |
| 620-659 | 8.0% | $2,200 |
Loan Term Comparison
| Loan Term | Monthly Payment | Total Interest | Total Cost |
|---|---|---|---|
| 30 Years | Lowest | Highest | Highest |
| 20 Years | Moderate | Moderate | Moderate |
| 15 Years | Highest | Lowest | Lowest |
Shorter loan terms have higher monthly payments but save thousands in interest over the life of the loan.
Mortgage Formula
Monthly Payment Formula
M = P × [ r(1+r)^n ] / [ (1+r)^n - 1 ]
Total Monthly Payment = Principal & Interest + Property Tax + Insurance + PMI
Frequently Asked Questions
A mortgage calculator estimates your monthly mortgage payment based on loan amount, interest rate, and loan term. It helps you understand how much house you can afford and plan your budget accordingly.
Monthly payment uses the standard amortization formula: M = P × (r(1+r)^n) / ((1+r)^n - 1), where P is principal, r is monthly interest rate, and n is total number of payments.
Principal (loan amount), Interest (bank charge), Taxes (property tax), and Insurance (homeowner's insurance). Together these are called PITI.
20% down payment avoids Private Mortgage Insurance (PMI). However, many lenders accept 3-5% down for first-time home buyers with PMI.
15-year loans have higher monthly payments but lower total interest. 30-year loans have lower monthly payments but you pay more interest overall.
An amortization schedule shows how each payment splits between principal and interest over the life of the loan. Early payments are mostly interest.
Most lenders use the 28/36 rule: Housing expenses shouldn't exceed 28% of gross monthly income, and total debt shouldn't exceed 36%.
Private Mortgage Insurance (PMI) protects lenders when down payment is under 20%. You can request PMI removal when loan balance reaches 80% of home value.
Yes. Higher credit scores (740+) qualify for lower interest rates. Lower scores may require higher rates or FHA loans with lower down payments.
Closing costs are fees paid at settlement, typically 2-5% of loan amount. They include appraisal, title insurance, origination fees, and prepaid taxes/insurance.
Fixed-rate mortgage: Interest rate stays same for entire loan term (30-year fixed popular). Predictable payments. Adjustable-rate mortgage (ARM): Rate changes after initial fixed period (usually 5/7/10 years). Lower initial rate but can increase. Choose fixed for long-term stability, ARM if you plan to move within 5-7 years.
Steps: 1) Check credit score (740+ for best rates), 2) Gather documents (pay stubs, tax returns, bank statements, W-2s), 3) Compare 3-5 lenders, 4) Submit application with lender, 5) Get pre-approval letter (valid 60-90 days). Pre-approval shows sellers you're serious and gives exact loan amount.
Front-end DTI = Housing costs ÷ Gross monthly income (should be ≤28%). Back-end DTI = Total debt payments ÷ Gross monthly income (should be ≤36%). For FHA loans: up to 31% front-end, 43% back-end. Higher DTI = harder to qualify. Pay down debts before applying to improve DTI.
FHA loans: Government-backed, 3.5% down payment (580+ credit score), 10% down (500-579 score). Easier qualification than conventional. Mortgage insurance required (upfront + monthly). Loan limits vary by county ($420k-$970k). Best for first-time buyers with moderate income.
Rate-and-term refinance: Lower interest rate or change loan term. Cash-out refinance: Borrow extra equity for home improvements, debt consolidation, education. Costs: 2-5% of loan amount in closing costs. Refinance if new rate is 1-2% lower than current. Break-even period = closing costs ÷ monthly savings.