Estimate principal and interest plus property tax, insurance, HOA fees, and your total mortgage cost.
| Year | Beginning balance | Principal paid | Interest paid | Ending balance |
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How to use the mortgage calculator
Enter the home price, your down payment, the interest rate, and the loan term. Then add the yearly property tax and homeowners insurance, plus any monthly HOA fees. Press Calculate mortgage to see your full monthly payment, how it breaks down, the total interest over the life of the loan, your payoff date, and a yearly amortization table.
What goes into a monthly mortgage payment
Lenders often describe a home payment with the letters PITI:
- Principal – the part that pays down the loan itself
- Interest – the cost of borrowing
- Taxes – property tax, usually 1/12 of the yearly bill each month
- Insurance – homeowners insurance, also spread across 12 months
If the home is in a community with a homeowners association, HOA fees are added on top. Many lenders collect taxes and insurance through an escrow account, so all of these come out in one payment.
Example
A $350,000 home with a $70,000 down payment (20%) means a loan of $280,000. At 6.5% for 30 years, principal and interest come to $1,769.79 a month. Add $4,200 a year in property tax ($350 a month) and $1,500 a year in insurance ($125 a month), and the full monthly payment is about $2,244.79.
Over 30 years, the interest alone adds up to about $357,125, which is more than the original loan. With a 15-year term, the principal and interest payment rises to about $2,439 a month, but total interest drops to roughly $159,038.
Tips before you buy
- A 20% down payment usually lets you avoid private mortgage insurance (PMI) on a conventional loan. This calculator doesn’t add PMI, so if you plan to put down less than 20%, expect a higher payment.
- Compare a 15-year and a 30-year loan. The 30-year loan has a lower payment, while the 15-year loan saves a great deal of interest.
- Check local property tax rates. They vary widely from one county or city to another and can change your payment more than you might expect.
- Leave room in your budget for repairs, maintenance, and utilities, which aren’t part of the mortgage payment.
Common questions
How much house can I afford?
A common rule of thumb is that housing costs should stay under about 28% of your gross monthly income. Lenders also look at your total debt payments. Use the calculator to test different prices and down payments against your budget.
Why does the first year’s table show so much interest?
Interest is charged on the remaining balance, which is largest at the start. As you pay down the loan, the interest portion shrinks and the principal portion grows.
This tool is for education and planning only and is not financial advice. See our Financial Disclaimer.
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