Mortgage Payment Calculator
Calculate monthly mortgage payment, total interest paid, and full amortization summary using your loan details.
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How to use this calculator
P is the loan principal, r is the monthly interest rate (annual rate ÷ 12), and n is the total number of monthly payments. This is the standard amortizing loan formula.
- 1
Enter the home price and your planned down payment percentage to calculate the loan amount.
- 2
Input the annual interest rate offered by your lender and select your preferred loan term.
- 3
The calculator instantly shows your monthly payment, total cost, and how much goes to interest vs principal in the first month.
Frequently asked questions
Does this include property taxes and insurance?
No. It covers principal and interest only. Property tax, homeowners insurance, mortgage insurance, HOA dues and escrow payments are not in any result, so a payment quoted by a lender can be higher. Add those amounts to the monthly payment yourself.
Which formula is used for the payment?
M = P × r(1 + r)^n ÷ ((1 + r)^n − 1), with P the loan, r the annual rate divided by 12 and n the number of months (years × 12). For a $280,000 loan at 6.5% over 30 years, r is 0.5417% and n is 360, which gives $1,769.79. The figures are an illustration from your inputs, not a loan offer.
How does a larger down payment change the numbers?
The loan shrinks by the amount you put down. On a $350,000 home at 6.5% over 30 years, 5% down gives a $332,500 loan and $2,101.63 a month, while 20% down gives $280,000 and $1,769.79. Any extra cost that depends on the down payment, such as mortgage insurance, is not calculated here.
What is shown for the first month, and why?
The interest line is the loan times the monthly rate, and the principal line is whatever remains of the payment. At the defaults that is $1,516.67 of interest and $253.12 of principal. Later months shift toward principal, but this tool does not print a month-by-month schedule.
What happens at a 0% rate, 0 price or 100% down?
At 0% the payment is the loan divided by the number of months: $280,000 over 360 months is $777.78, with $0 interest. A price of 0 or a down payment of 100% leaves a loan of $0 and every payment line shows $0.00. A blank box counts as 0, and a down payment above 100 is limited to 100.
What does Total paid include?
It is the monthly payment times the number of months, so it covers the loan and its interest but not the down payment, closing costs or any escrow items. Adding the down payment back gives the cash outlay on the principal-and-interest side only.
Can I pick a term other than 10 to 30 years?
Only the five listed terms: 10, 15, 20, 25 and 30 years, each paid in monthly instalments. Biweekly schedules, extra payments, interest-only periods and rates that change over time are not modelled, since the rate is held fixed for the whole term.
How are the figures rounded?
The monthly payment and first-month lines show cents. Down payment, loan amount, total paid and total interest are rounded to whole dollars from the unrounded values, so they can differ by a dollar from the payment multiplied by the months.
Calculate Your Mortgage Payment Before You Buy
Understanding Your Monthly Mortgage Payment
Your monthly mortgage payment depends on three inputs: the loan amount (home price minus the down payment percentage), the annual interest rate, and the loan term in years. The rate is divided by 12 and the term multiplied by 12, so the payment is always monthly and the same every month. The standard amortization formula spreads your payments evenly so you always pay the same amount each month, though the split between interest and principal changes every payment. Early in the loan, the majority goes to interest — this shifts gradually toward principal over time.
Choosing the Right Loan Term
A 30-year mortgage offers the lowest monthly payment but results in paying significantly more interest over the life of the loan. A 15-year mortgage cuts your repayment period in half and saves tens of thousands in interest, but requires a higher monthly payment. Many borrowers choose 20 or 25-year terms as a middle ground. Use this calculator to compare terms and find the balance that fits your budget and financial goals.
Same loan, different terms: $350,000 home, 20% down, 6.5% rate
With 20% down, the loan is $280,000. Shortening the term raises the monthly payment but cuts the total interest dramatically. All figures below are principal and interest only.
| Term | Monthly payment | Total interest | Total paid |
|---|---|---|---|
| 10 years | $3,179.34 | $101,521 | $381,521 |
| 15 years | $2,439.10 | $159,038 | $439,038 |
| 20 years | $2,087.60 | $221,025 | $501,025 |
| 25 years | $1,890.58 | $287,174 | $567,174 |
| 30 years | $1,769.79 | $357,125 | $637,125 |
Why the first payments barely reduce the balance
On the 30-year loan above, the first payment of $1,769.79 splits into $1,516.67 of interest ($280,000 × 6.5% ÷ 12) and only $253.12 of principal, about 14%. The principal share grows slowly each month, which is why extra payments early in the loan save the most interest.
How the down payment changes the payment
A bigger down payment lowers the loan, the monthly payment and the total interest. Mortgage insurance is not part of this table, so a lender’s quote for a small down payment may be higher.
| Down payment | Loan amount | Monthly payment | Total interest |
|---|---|---|---|
| 5% | $332,500 | $2,101.63 | $424,085 |
| 10% | $315,000 | $1,991.01 | $401,765 |
| 20% | $280,000 | $1,769.79 | $357,125 |
Common mistakes when budgeting for a mortgage
Budgeting from principal and interest alone, when property tax, homeowners insurance, mortgage insurance and any HOA fees come on top. Comparing loans only on the monthly payment, which hides the extra interest of a longer term. Forgetting closing costs and the cash needed for the down payment. Leaving the rate blank, which is read as 0% and shows a much lower payment than any real loan would.
Learn more from an authoritative source:
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Results are estimates for informational purposes only and do not constitute professional financial, medical, legal, or technical advice. Read full disclaimer →