Mortgage Calculator
| Principal & interest | – |
| Property tax | – |
| Home insurance | – |
| HOA dues | – |
| Loan amount | – |
| Total interest | – |
Amortization schedule
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Work out your monthly loan EMI and total interest in seconds.
See how your savings grow year by year with compounding.
Percent of a number, increases and decreases — instant.
What is a mortgage?
A mortgage is a long-term loan you take out to buy a home. The property itself acts as collateral: if you stop paying, the lender can repossess it. Most mortgages run for 15 to 30 years with a fixed interest rate, so your principal-and-interest payment stays the same every month. Your total monthly payment is usually bigger than that, though — lenders bundle in property tax, home insurance, and sometimes PMI or HOA dues. Enter your numbers above to see the full picture instantly.
How your monthly payment is calculated
The principal-and-interest part uses the standard amortization formula:
P&I = L × r × (1 + r)n ÷ ((1 + r)n − 1)
- L = loan amount (home price minus down payment)
- r = monthly interest rate = annual rate ÷ 12 ÷ 100
- n = total number of monthly payments
On top of that, this calculator adds the real-world extras:
- Property tax — your yearly tax bill divided by 12.
- Home insurance — your yearly premium divided by 12.
- PMI — private mortgage insurance, estimated at 0.75% of the loan per year, applied automatically when your down payment is below 20%. It protects the lender, not you, and it is the main cost of a small down payment.
- HOA dues — added in full each month.
Worked example
Say you buy a 300,000 home with 20% down (60,000), borrowing 240,000 at 7% annual interest for 30 years. The monthly rate is 0.005833 and n = 360, giving a principal-and-interest payment of 1,596.73. Add property tax of 3,600/year (300/month), insurance of 1,200/year (100/month) and HOA of 100/month, and your total monthly payment is 2,096.73. Over 30 years you pay 334,821.36 in interest alone — try these numbers above and check the donut chart to see where every dollar goes.
Frequently asked questions
What is the difference between Conventional, FHA, VA and USDA loans?
Conventional loans follow standard lending rules — PMI is required if your down payment is under 20%. FHA loans (backed by the Federal Housing Administration) allow down payments as low as 3.5% but charge 0.55%/year mortgage insurance plus 1.75% upfront. VA loans (for veterans) need no down payment and no PMI, but include a funding fee. USDA loans (rural areas) offer 0% down with a 0.35%/year guarantee fee. Pick your type in the calculator above — PMI auto-adjusts.
What is PMI and when do I stop paying it?
PMI (private mortgage insurance) is insurance you pay to protect the lender when your down payment is under 20%. This calculator estimates it at 0.75% of the loan per year. In real life, you can usually drop PMI once your loan balance falls below 80% of the home's value — one more reason extra payments pay off.
How much house can I afford?
A common rule: keep your total monthly housing payment under 28% of your gross monthly income, and all debts under 36%. Work backwards with this calculator — enter a home price, check the total monthly payment, and compare it with your budget. Remember taxes and insurance vary a lot by location.
Is a 15-year mortgage better than a 30-year one?
A 15-year term has a higher monthly payment but a much lower rate and far less total interest — often saving six figures. A 30-year term costs less per month, giving you flexibility. Enter 15 years vs 30 years in the loan-term fields above to compare both instantly.
Do extra payments really save that much interest?
Yes. Because early payments are mostly interest, paying even a little extra each month attacks the principal sooner and compounds your savings. Try it: enter an extra monthly amount above and watch the "You save in interest" figure — on a 30-year loan it is often tens of thousands.