Mortgage Calculator
Calculate your monthly mortgage payment with full amortization schedule
What is a mortgage calculator?
A mortgage calculator estimates your monthly home loan payment based on the loan amount, interest rate, and term. It breaks down each payment into principal and interest, and can include property taxes, insurance, PMI, and HOA fees to give you a complete picture of your housing costs.
Estimated Monthly Payment
$3,000.44
Based on a 30-year fixed loan
Principal & Interest
$2,275.44
Total Loan Amount
$360,000.00
Total Interest Paid
$459,164.00
Total Cost of Home
$819,164.00
Amortization Schedule
| Month | Payment | Principal | Interest | Balance |
|---|---|---|---|---|
| 1 | $2,275.44 | $325.44 | $1,950.00 | $359,674.56 |
| 2 | $2,275.44 | $327.20 | $1,948.24 | $359,347.36 |
| 3 | $2,275.44 | $328.98 | $1,946.46 | $359,018.38 |
| 4 | $2,275.44 | $330.76 | $1,944.68 | $358,687.62 |
| 5 | $2,275.44 | $332.55 | $1,942.89 | $358,355.07 |
How is mortgage payment calculated?
The monthly payment formula uses the fixed-rate mortgage equation, which balances your loan principal and interest over the entire term to ensure the balance reaches zero by the final payment.
Mortgage Payment Formula
Where M is the monthly payment, P is the principal loan amount, i is the monthly interest rate (annual rate ÷ 12), and n is the total number of payments (years × 12).
Variable Definitions
- M: Total monthly payment (principal & interest only)
- P: Principal loan amount (home price minus down payment)
- i: Monthly interest rate (annual rate ÷ 12)
- n: Number of monthly payments (years × 12)
Property taxes, insurance, PMI, and HOA fees are added on top of the principal and interest payment to arrive at the total monthly housing cost.
Frequently Asked Questions
PMI is insurance that protects the lender if you default on your mortgage. It is typically required when your down payment is less than 20% of the home price. PMI usually costs between 0.5% and 1% of the loan amount annually and can be removed once you reach 20% equity.
A larger down payment reduces the total loan amount (principal), which lowers your monthly payment and total interest cost. If you put down 20% or more, you can typically avoid paying for Private Mortgage Insurance (PMI), saving you hundreds per month.
Yes, most mortgages allow early payoff without penalties. Making extra payments toward the principal can significantly reduce your total interest paid and shorten the loan term. Check your loan agreement for any prepayment penalty clauses.
A monthly mortgage payment typically includes principal repayment, interest charges, property taxes, homeowners insurance, and potentially PMI and HOA fees. This is often referred to as PITI (Principal, Interest, Taxes, Insurance).
Even small differences in interest rates can have a dramatic impact over the life of a loan. For example, on a $300,000 30-year mortgage, the difference between 6% and 7% adds approximately $71,000 in total interest paid.
HOA (Homeowners Association) fees are monthly or annual charges paid to a homeowners association that manages shared spaces and amenities in a community. These fees cover maintenance, landscaping, insurance for common areas, and community amenities like pools or gyms.