How to Use This Mortgage Calculator

Our free mortgage calculator helps you estimate your monthly home loan payments including principal, interest, property taxes, and insurance. Simply enter your home price, down payment, interest rate, and loan term to see instant results.

Understanding Mortgage Payments

Your total monthly payment consists of four main components (often called PITI):

• Principal: The amount you borrow to purchase the home
• Interest: The cost of borrowing money from the lender
• Property Taxes: Annual taxes assessed by your local government
• Insurance: Homeowners insurance to protect your investment

What is an Amortization Schedule?

An amortization schedule shows how your loan balance decreases over time. In the early years, most of your payment goes toward interest. As time passes, more of each payment reduces the principal balance. Our calculator generates a complete amortization schedule you can view and download as a CSV file.

Down Payment Considerations

The down payment is the initial cash payment you make when purchasing a home. A larger down payment reduces your loan amount, monthly payments, and may help you avoid private mortgage insurance (PMI). Conventional loans typically require 5-20% down, though some programs allow as little as 3%.

How Interest Rates Affect Your Payment

Even a small change in interest rate can significantly impact your monthly payment and total interest paid over the life of the loan. For example, on a $300,000 loan, a 1% rate increase can add hundreds of dollars to your monthly payment and tens of thousands over 30 years.

15-Year vs 30-Year Mortgages

30-Year Mortgages: Lower monthly payments but more interest paid over time. Better for those who need lower payments or want to invest money elsewhere.

15-Year Mortgages: Higher monthly payments but significantly less interest paid overall. Build equity faster and own your home sooner. Typically offer lower interest rates.

Tips for Getting the Best Mortgage Rate

• Improve your credit score before applying
• Save for a larger down payment (20% or more)
• Compare rates from multiple lenders
• Consider buying mortgage points to lower your rate
• Choose a shorter loan term if you can afford higher payments