Use this free mortgage calculator to estimate your monthly mortgage payment, total interest and total amount paid based on the home price, down payment, interest rate and loan term.
This mortgage payment calculator can help you compare different home loan scenarios. Enter the home price, down payment, annual interest rate and mortgage term to estimate the monthly principal and interest payment and see how the balance changes through the mortgage amortization schedule.
You can also use the calculator to compare a 30-year mortgage with other loan terms, test different interest rates and see how changing the down payment affects the amount you need to borrow.
Mortgage Payment Calculator
Mortgage Amortization Schedule
The table below shows how your estimated mortgage balance could change each year based on the assumptions entered above.
The schedule separates the estimated amount paid toward principal from the interest paid during each year and shows the remaining mortgage balance.
| Year | Principal paid | Interest paid | Remaining balance |
|---|
Monthly Mortgage Payment Calculator
Your monthly mortgage payment depends mainly on the amount borrowed, the interest rate and the length of the mortgage. A larger loan or higher interest rate generally results in a higher monthly payment, while a longer repayment period generally lowers the required monthly payment.
This calculator focuses on principal and interest. Other homeownership costs, such as property taxes, homeowners insurance, mortgage insurance, maintenance and closing costs, are not included in the calculated monthly payment.
Use the calculator above to change the home price, down payment, interest rate and loan term and compare different mortgage payment scenarios.
Mortgage Payment Formula
A standard fixed-rate mortgage payment can be calculated using the loan amount, monthly interest rate and number of monthly payments.
The basic mortgage payment formula is:
M = P × [r(1 + r)n] / [(1 + r)n − 1]
In this formula, M is the monthly payment, P is the loan principal, r is the monthly interest rate and n is the total number of monthly payments.
This calculator uses that standard amortization formula for loans with a non-zero interest rate. When the interest rate is 0%, the loan is simply divided across the number of monthly payments.
What Affects Your Monthly Mortgage Payment?
Several factors can affect the monthly principal and interest payment on a mortgage. The main factors included in this calculator are the home price, down payment, interest rate and loan term.
Home price and loan amount
A higher home price generally means a larger mortgage loan if the down payment remains the same. Borrowing more money generally results in a higher monthly payment.
Interest rate
The interest rate affects how much you pay to borrow money. A higher rate generally increases both the monthly payment and the total interest paid over the life of the mortgage.
Down payment
A larger down payment reduces the amount you need to borrow. This can reduce the monthly mortgage payment and the total interest paid over the life of the loan.
Loan term
A longer mortgage term generally reduces the required monthly payment but can increase the total amount of interest paid. A shorter term can result in higher monthly payments but may reduce total interest because the loan is repaid faster.
Mortgage Calculator With Down Payment
Your down payment is an important part of estimating the size of a mortgage. To calculate the loan amount, subtract the down payment from the home price.
For example, a $300,000 home with a $60,000 down payment would result in an estimated mortgage loan of $240,000 before any additional costs.
Increasing the down payment generally reduces the amount borrowed, which can lower the monthly principal and interest payment and reduce the total interest paid.
How Does the Interest Rate Affect a Mortgage?
The interest rate is one of the most important variables in a mortgage calculation. A higher rate generally means a higher monthly payment and a higher total cost of borrowing when the loan amount and term remain the same.
Even relatively small differences in mortgage rates can result in significant differences in total interest when a loan is repaid over several decades.
You can change the interest rate in the calculator above to compare different hypothetical mortgage scenarios.
30-Year Mortgage Calculator Example
Suppose you purchase a $300,000 home and make a $60,000 down payment. The estimated mortgage loan would therefore be $240,000.
At an assumed annual interest rate of 6% over 30 years, the estimated monthly principal and interest payment would be approximately $1,438.92.
Over 30 years, the estimated total of these mortgage payments would be approximately $517,971, including approximately $277,971 in interest.
This example is hypothetical. Actual mortgage costs can differ because of the interest rate offered by the lender, loan fees, taxes, insurance, mortgage insurance and other expenses.
Frequently Asked Questions
What is a mortgage calculator?
A mortgage calculator is a tool that estimates the monthly principal and interest payment for a home loan based on the loan amount, interest rate and repayment period.
What is included in a mortgage payment?
This calculator estimates principal and interest. Actual housing costs can also include property taxes, homeowners insurance, mortgage insurance, maintenance and other expenses, which are not included in this calculator.
Does this mortgage calculator include property taxes?
No. This calculator estimates principal and interest only. Property taxes, homeowners insurance, mortgage insurance and other additional costs are not included.
How much house can I afford?
A mortgage payment calculator estimates the payment for a loan, but it does not determine how much home you can personally afford. Income, existing debts, expenses, savings and other financial circumstances also affect an affordable housing budget.
You can use our Mortgage Affordability Calculator to explore this question using income and expense assumptions.
Does a larger down payment reduce interest?
Generally, yes. A larger down payment reduces the amount borrowed, which can reduce the total interest paid over the life of the loan.
Is a 30-year mortgage always cheaper?
A longer loan term can result in a lower monthly payment but may lead to more total interest paid. A shorter term can increase monthly payments while reducing the repayment period.
What happens if mortgage interest rates increase?
For a new fixed-rate mortgage, a higher interest rate generally results in a higher monthly principal and interest payment and higher total interest costs, assuming the loan amount and term remain the same.
Are mortgage calculator results guaranteed?
No. The results are estimates based on the assumptions entered. Actual mortgage costs depend on the lender, interest rate, fees, taxes, insurance and other factors.
Can I use this calculator to compare mortgage scenarios?
Yes. You can change the home price, down payment, interest rate and loan term to compare different hypothetical mortgage scenarios.
Does this calculator include mortgage insurance?
No. Mortgage insurance and other lender-specific costs are not included in the calculation. The calculator focuses on the loan's principal and interest.
More Financial Calculators
Explore our other free financial calculators to compare different saving, investing, mortgage and personal finance scenarios.
Mortgage Affordability Calculator — estimate a potential home budget based on income, expenses and mortgage assumptions.
Investment Calculator — estimate how an initial investment and regular contributions could grow over time.
Compound Interest Calculator — explore how compound growth could affect an investment over time.
Savings Calculator — estimate how regular contributions and interest could affect your future savings balance.
Net Worth Calculator — calculate your current net worth by comparing assets and liabilities.
View all financial calculators — explore the complete collection of free financial tools.
Mortgage Calculator Disclaimer
This mortgage calculator is provided for educational and informational purposes only. It does not constitute financial, mortgage, tax or legal advice.
Actual mortgage payments and total borrowing costs may differ because of interest rates, lender fees, taxes, insurance, mortgage insurance and other expenses.