Mortgage Calculator

Estimate your monthly mortgage payment and total interest.

Worked example

Say you buy a $350,000 home with 20% down ($70,000). You borrow $280,000 at 6.5% for 30 years.

• Monthly payment (principal and interest): $1,769.79
• Total paid over 30 years: about $637,125
• Total interest: about $357,125

At 7.5% instead, the same loan costs $1,957.80 a month. A single percentage point changes the payment by about $188 and adds tens of thousands in interest over the loan.

How it is calculated

Payment = P × r ÷ (1 − (1 + r)⁻ⁿ), where P is the home price minus your down payment, r is the monthly rate (annual rate ÷ 12) and n is the number of monthly payments (years × 12).

Early payments are mostly interest. Over time, a larger share of each payment goes to the balance.

15-year or 30-year mortgage?

With the same $280,000 loan at 6.5%, a 15-year term costs about $2,439.10 a month and about $159,038 in total interest. The 30-year term costs $1,769.79 a month but about $357,125 in interest. Shorter terms cost less overall but need a higher monthly payment you can comfortably afford.

Frequently asked questions

Does this include property tax and insurance?

No. This estimate covers principal and interest only. Property tax, homeowners insurance, HOA fees and mortgage insurance are added on top, so your lender's monthly total will be higher.

How does a bigger down payment help?

It lowers the amount you borrow, which reduces your monthly payment and total interest. On many conventional loans, putting down 20% also means you do not have to pay private mortgage insurance.

How much do extra payments save?

In the example above, paying an extra $200 a month pays the loan off in about 22 years and 9 months instead of 30, and saves roughly $101,000 in interest. Check that your lender lets you pay extra without a penalty.

Is the interest rate here the same as APR?

Not exactly. APR includes some fees on top of the interest rate. This calculator uses the interest rate you enter, so use your quoted rate for the closest estimate.

Results are estimates for general information, not a loan offer or financial advice.