Mortgage Calculator - Calculate Monthly Payments & Interest

Free online mortgage calculator. Calculate monthly mortgage payments, total interest, and amortization schedule. Plan your home loan with accurate estimates.

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How to Use the Mortgage Calculator

1

Enter Property Details

Input your home price, down payment percentage, loan term, and interest rate.

2

Add Additional Costs

Include property tax, home insurance, PMI, and HOA fees for accurate estimates.

3

Calculate & Review

Get your monthly payment breakdown, total cost, and amortization schedule.

Understanding Your Mortgage Payment

Principal & Interest (P&I)

This is the core of your mortgage payment. The principal is the amount you borrowed, and the interest is what the lender charges you to borrow that money. In the early years, most of your payment goes toward interest. As time goes on, more goes toward paying down the principal.

Property Taxes

Property taxes are based on your home's assessed value and local tax rates. They typically range from 0.5% to 2.5% of your home's value annually, depending on your location. Most lenders collect these monthly and hold them in escrow.

Homeowners Insurance

This protects your home against damage from fire, storms, and other covered disasters. Lenders require it to protect their investment. The cost varies based on your home's value, location, and coverage amount.

PMI (Private Mortgage Insurance)

If your down payment is less than 20%, you'll typically need to pay PMI. This insurance protects the lender if you default on the loan. PMI usually costs 0.3% to 1.5% of the loan amount annually and can be removed once you reach 20% equity.

HOA Fees

If you're buying a condo, townhouse, or home in a planned community, you may have to pay Homeowners Association (HOA) fees. These cover maintenance of common areas and amenities. HOA fees can range from $100 to $1,000+ per month.

Perfect For

First-Time Homebuyers

Understand your monthly payments and total cost before making an offer on your dream home.

Refinancing Decisions

Compare different loan terms and interest rates to find the best refinancing option.

Budget Planning

Factor in all housing costs including taxes, insurance, and HOA fees for accurate budgeting.

Investment Analysis

Calculate potential rental property payments and cash flow for investment decisions.

Loan Comparison

Compare 15-year vs 30-year mortgages and different down payment scenarios.

Pre-Approval Preparation

Get a realistic estimate of what you can afford before applying for pre-approval.

Frequently Asked Questions

A typical monthly mortgage payment includes principal and interest (P&I), property taxes, homeowners insurance, and possibly PMI and HOA fees. The exact breakdown depends on your loan terms and location.

The principal and interest portion uses the standard mortgage formula: M = P [ i(1 + i)^n ] / [ (1 + i)^n – 1], where P is the loan amount, i is the monthly interest rate, and n is the number of payments.

PMI (Private Mortgage Insurance) is required when your down payment is less than 20%. It protects the lender if you default. You can typically remove PMI once you reach 20% equity in your home, usually after 3-5 years of payments.

Property taxes are collected monthly by your lender and held in escrow. The amount depends on your home's assessed value and local tax rates, which vary significantly by location.

A 15-year mortgage has higher monthly payments but lower total interest paid over the life of the loan. A 30-year mortgage has lower monthly payments but you'll pay more interest overall.