Calculate your monthly mortgage payment, view amortization schedule, and see how extra payments save you money.
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This free mortgage calculator gives you a complete picture of what your monthly home loan payment will look like, including principal, interest, property taxes, homeowners insurance, PMI, and HOA fees. Whether you are a first-time buyer exploring your budget or a homeowner considering a refinance, this tool helps you understand exactly where each dollar of your payment goes.
Start by entering the home price and your planned down payment. The calculator automatically computes your loan amount. Next, set the interest rate your lender has quoted you (or use the default as a starting point). Choose between a 15-year or 30-year term to see how the loan length affects your monthly cost and total interest paid. Then fill in your estimated annual property tax, homeowners insurance, and any HOA dues to get a true all-in monthly number.
Amortization is the process of paying down your loan over time through fixed monthly payments. In the early years, most of your payment goes toward interest. As the loan matures, the balance shifts so that more of each payment reduces your principal. The amortization schedule below the calculator shows this breakdown month by month, so you can see exactly when you cross the tipping point where you are paying more toward your home than toward interest.
Private Mortgage Insurance (PMI) is required by most lenders when your down payment is less than 20% of the purchase price. PMI typically costs between 0.5% and 1.5% of the loan amount per year. Once your loan-to-value ratio drops below 80%, you can request removal of PMI, which meaningfully reduces your monthly payment. This calculator includes a PMI estimate so you can see the real cost of a lower down payment.
Many buyers focus only on principal and interest, forgetting that taxes, insurance, and PMI can add hundreds of dollars per month. Always calculate your full PITI payment (Principal, Interest, Taxes, Insurance) before committing. Also consider that a 15-year mortgage has a higher monthly payment but saves tens of thousands in interest over the life of the loan compared to a 30-year term.
A fixed-rate mortgage locks in your interest rate for the entire loan term, so your principal and interest payment never changes. An adjustable-rate mortgage (ARM) starts with a lower rate for an introductory period (often 5 or 7 years), then adjusts annually based on market conditions. Fixed rates offer predictability; ARMs offer lower initial payments but carry the risk of future rate increases.
A common guideline is the 28/36 rule: your monthly housing costs should not exceed 28% of your gross monthly income, and total debt payments should stay below 36%. Use this calculator to test different home prices until your payment fits comfortably within those limits.
Extra payments go directly toward your principal, which reduces the total interest you pay and shortens your loan term. Even an extra $100 per month can save thousands in interest and shave years off a 30-year mortgage. Use the extra payment section of this calculator to see the impact.
Generally, a credit score of 740 or higher qualifies you for the best conventional mortgage rates. Scores between 680 and 739 still get competitive rates, while borrowers below 680 may face higher rates or additional requirements. FHA loans accept scores as low as 580 with a 3.5% down payment.