Mortgage Calculator
Estimate your monthly mortgage payment, total interest, and yearly amortization from home price, down payment, interest rate, and loan term.
How it works
Monthly mortgage payment formula
M = P × r × (1 + r)^n / ((1 + r)^n − 1) P = loan amount (home price − down payment) r = monthly interest rate (annual rate ÷ 12) n = number of monthly payments (years × 12)
The formula spreads the loan across equal monthly payments so that interest is paid on the remaining balance each month and the balance reaches zero at the end of the term. Early payments are mostly interest; later payments are mostly principal.
Worked example
For a $350,000 home with a $70,000 down payment, a 6.5% interest rate, and a 30-year term: the loan amount is $280,000, the monthly payment is about $1,769.79, and total interest over 30 years is about $357,125.
Frequently asked questions
What does the monthly payment include?
This calculator shows principal and interest only. Your actual monthly housing cost will also include property taxes and homeowners insurance, and possibly PMI and HOA fees.
How does the down payment affect the payment?
A larger down payment reduces the loan amount, which lowers both the monthly payment and the total interest paid over the life of the loan. A down payment of at least 20% typically also avoids private mortgage insurance (PMI).
Should I choose a 15-year or 30-year term?
A 15-year term has higher monthly payments but dramatically less total interest. A 30-year term keeps payments lower and more flexible. Try both terms above and compare the total interest paid.