Mortgage Calculator

v1.3

Estimate monthly mortgage payments, interest and amortization.

Last updated · 1 min read

  • Formula verified
  • Editorially reviewed
  • Updated June 27, 2026
  • Privacy first

Version 1.3 · Uses official CFPB and Federal Reserve guidance · Free forever · No signup required · Works on mobile

Quick answer

What this calculator does
Mortgage Calculator estimate monthly mortgage payments, interest and amortization. It runs entirely in your browser, needs no signup, and uses standard published U.S. formulas.
When to use it
Use the Mortgage Calculator before you sign a loan, refinance, or payoff plan that depends on mortgage. It is an estimate, not a quote or professional advice.
Key inputs
  • Home price
  • Down payment
  • Interest rate (annual)
  • Mortgage term
  • Currency
Key outputs
  • Monthly Mortgage Payment
  • Loan Amount
  • Total Interest
  • Total Mortgage Cost
Takeaway
In one line: enter your home price and down payment and the Mortgage Calculator returns monthly mortgage payment and loan amount you can compare before deciding.

Inputs

USD
USD
%

Result

Calculation complete

Monthly Mortgage Payment

$2,022.62

Principal & interest · 30 yrs

Loan Amount$320,000.00
Total Interest$408,142.36
Total Mortgage Cost$808,142.36

Key takeaway

Monthly P&I $2,022.62 · Loan $320,000.00 · Total interest $408,142.36

Saved calculations remain on this device unless you choose to share them. No tracking, no account needed.

Share this result

Shares the calculator link. Your inputs stay on your device.

Privacy-safe: amounts you typed are never attached to a share link.

My dashboard

Saved on this device only — no account needed, no financial values leave your browser.

Visual breakdown

The same numbers as above, shown visually so the trade-offs are easy to see at a glance.

Result breakdown
Total Mortgage Cost
$808,142.36
Total Interest
$408,142.36
Loan Amount
$320,000.00
Monthly Mortgage Payment
$2,022.62
Balance and interest over time

Amortization schedule

Amortization schedule for Mortgage Calculator. Assumes every payment is made on time, the rate stays fixed, and no extra payments are applied.
PeriodOpening balancePaidInterestPrincipalClosing balance
Year 1$400,000$30,339$25,868$4,471$395,529
Year 2$395,529$30,339$25,569$4,770$390,759
Year 3$390,759$30,339$25,249$5,090$385,669
Year 4$385,669$30,339$24,909$5,431$380,238
Year 5$380,238$30,339$24,545$5,794$374,444
Year 6$374,444$30,339$24,157$6,182$368,261
Year 7$368,261$30,339$23,743$6,596$361,665
Year 8$361,665$30,339$23,301$7,038$354,627
Year 9$354,627$30,339$22,830$7,510$347,117
Year 10$347,117$30,339$22,327$8,013$339,105

Assumes every payment is made on time, the rate stays fixed, and no extra payments are applied.

Compare scenarios

Same inputs, three outlooks — we vary Interest rate (annual) up and down so you can see the range before you commit.

Optimistic

$1,757.15

Monthly Mortgage Payment

Interest rate (annual): 5.2%

Expected

$2,022.62

Monthly Mortgage Payment

Interest rate (annual): 6.5%

Conservative

$2,303.59

Monthly Mortgage Payment

Interest rate (annual): 7.8%

Smart financial assistant

What this means

Monthly Mortgage Payment is $2,022.62. This is your monthly obligation and the total cost of credit at the rate and term you entered.

Is this good or bad?

A result is healthy when the payment fits comfortably inside your budget and total interest is a number you would accept in writing.

What's the risk?

The main risks are rate, term length and any balloon or prepayment terms buried in the contract.

What should you do next?

Get written quotes from three lenders and compare APR — not the advertised rate — side by side.

Your action plan

  1. 1

    Compare three written offers

    Median rate spread on the same borrower is 0.5–1.0%.

  2. 2

    Check your debt-to-income ratio

    Lenders weight it heavily; under 36% is the comfort line.

  3. 3

    Choose the shortest term you can afford

    Total interest falls sharply as the term shortens.

  4. 4

    Confirm no prepayment penalty

    It determines whether extra payments actually save you money.

  5. 5

    Run the Home Affordability Calculator

    Home price you can afford based on income and DTI.

    Open Home Affordability Calculator

Smart timeline

Today

  • Save or print this result so you can compare offers against it.
  • Pull your credit report free at annualcreditreport.com.

This month

  • Collect three written loan estimates.
  • Pay down revolving balances before any hard credit pull.

Next 12 months

  • Set up autopay for the rate discount.
  • Re-check your rate if the Fed moves or your score improves.

Long term

  • Refinance when rates fall meaningfully below your current rate.
  • Redirect the payment into savings once the loan is retired.

Result Intelligence

Understand your result

  • Your monthly mortgage payment is $2,022.62. It reflects your monthly obligation and total cost of credit at today's rates.
  • Small changes in rate or term can meaningfully change lifetime interest — always compare offers.

What should you do next?

  1. Debt-to-Income Calculator

    Check whether lenders will approve you.

  2. Credit Utilization Calculator

    Lower utilization can improve your APR.

  3. Affordability Calculator

    See the maximum loan you should carry.

  4. Compound Interest Calculator

    Compare paying debt vs. investing the difference.

Ways to improve your result

  • Shop 3+ lenders — median rate spread on the same borrower is 0.5–1.0%.
  • Choose a shorter term when cash flow allows — total interest drops sharply.
  • Autopay usually earns a 0.25% rate discount.

Common U.S. scenarios

Texas family

$95k household income, two auto loans. Refinancing a 22% APR card into a 5-year 11% personal loan saves ~$4,200 in interest.

California renter

Single filer earning $110k in LA — a 45% DTI locks out most conventional mortgages until credit-card debt is paid down.

Florida retiree

Fixed Social Security + pension. Keeping utilization under 10% preserves the 780+ FICO needed for the best HELOC rates.

Result summary

Mortgage Calculator

Mortgage Calculator
Monthly Mortgage Payment: $2,022.62
Loan Amount: $320,000.00
Total Interest: $408,142.36
Total Mortgage Cost: $808,142.36
Monthly P&I $2,022.62 · Loan $320,000.00 · Total interest $408,142.36

What this result assumes

Confidence in a number depends on the assumptions behind it. Here are ours, in full.

Assumptions

  • The rate you entered stays fixed for the whole period.
  • Every period is a whole calendar period of equal length.
  • Payments and contributions are made on schedule, with none missed.
  • All amounts are shown in USD.
  • Results are rounded for display; internal math uses full precision.

Limitations

Lender fees, insurance and credit-based pricing adjustments are not included unless you enter them.

Estimates are for education and planning. They are not financial, tax or legal advice.

Formula source

CFPB Truth-in-Lending (Regulation Z) amortization conventions

Version
v1.3
Last reviewed

Where to go next

Next logical calculatorHome Affordability CalculatorHome price you can afford based on income and DTI.Continue
Instant result summary

Mortgage Calculator: Your result is an estimate of the payment, interest, or payoff that matches the inputs above. It's a directional number to compare offers — not a lender quote.

What does this result mean?

  • A lower monthly payment often means a longer term and more total interest paid over the life of the loan.
  • A higher APR compounds faster — even a 0.5% difference can add thousands over 30 years.
  • Total interest is a better comparison metric than the monthly payment alone.

How does the formula work?

Loan = Home price − Down payment. Then Monthly P&I = L × r × (1 + r)ⁿ / ((1 + r)ⁿ − 1) — L loan, r monthly rate, n months.

How it works

This calculator shows the principal & interest (P&I) portion of your monthly mortgage payment. Property taxes, homeowners insurance and PMI are not included; we'll add those in a future update.

Step-by-step guide

  1. 1Enter the loan or principal amount you're evaluating.
  2. 2Set the interest rate (APR) and repayment term.
  3. 3Adjust optional inputs like fees, extra payments, or down payment.
  4. 4Review the monthly payment, total interest, and full amortization.
  5. 5Copy, share, or print the results for your records.

Example calculation

Example: $400k home, 20% down, 6.5% APR, 30-year fixed.

Who should use this calculator?

  • Home buyers comparing mortgage scenarios
  • Borrowers evaluating a personal, auto or student loan
  • Anyone paying down credit-card debt
  • Financial advisors preparing client scenarios

When should you use it?

  • Before signing a loan or mortgage agreement
  • When shopping rates across lenders
  • When considering extra payments or refinancing
  • When budgeting for a large purchase

What affects the result?

  • Interest rate (APR) and how it compounds
  • Loan term — longer terms lower the payment but raise total interest
  • Down payment or upfront amount
  • Fees, points and insurance included in the APR
  • Extra or bi-weekly payments

Compare 3 realistic scenarios

Three realistic scenarios compared side by side
ScenarioInputsOutcome
Conservative$250k loan, 30yr, 7.5% APR$1,748/mo · $379k interest over 30yr
Balanced$250k loan, 20yr, 7.0% APR$1,938/mo · $215k interest — saves ~$164k
Aggressive$250k loan, 15yr, 6.5% APR$2,178/mo · $142k interest — saves ~$237k

Illustrative examples using U.S. market averages. Enter your own numbers above for a personalized figure.

Comparison tables

Fixed vs Variable Rate: Which Costs Less?

Fixed rates lock your payment for the life of the loan. Variable (adjustable) rates start lower but move with an index such as SOFR or the Prime Rate published by the Federal Reserve.

Fixed vs Variable Rate: Which Costs Less?
FactorFixed rateVariable / adjustable rate
Starting rate (2025 typical)Higher — around 0.25%–0.75% above the intro ARM rateLower teaser rate for 3, 5, 7 or 10 years
Payment stabilityIdentical principal & interest every monthResets at each adjustment period, subject to caps
Best whenYou keep the loan more than 5–7 years, or rates are falling slowlyYou expect to sell, refinance or pay off before the first reset
Worst caseYou overpay if market rates drop and you never refinancePayment shock at reset — caps commonly allow +2% per adjustment, +5% lifetime
Disclosure ruleAPR disclosed under Regulation Z (Truth in Lending)CFPB requires a Consumer Handbook on Adjustable-Rate Mortgages (CHARM) booklet

Bottom line: Run both scenarios in the calculator. If the total interest paid over your expected holding period is within about 1% of each other, take the fixed rate — the certainty is worth more than the small savings.

Buying vs Renting a Home in the USA

Homeownership builds equity but carries costs renters never see. HUD and the CFPB both recommend comparing the full monthly cost of ownership, not just the mortgage payment.

Buying vs Renting a Home in the USA
FactorBuyingRenting
Upfront cash3%–20% down plus 2%–5% closing costsFirst month plus a security deposit
Monthly costPrincipal, interest, property tax, insurance, HOA, PMI (PITI)Rent plus renters insurance
MaintenanceBudget 1%–2% of home value per yearLandlord's responsibility
Tax benefitMortgage interest and property tax deductible if you itemize (IRS Pub. 936)No federal deduction
Break-even horizonTypically 4–7 years before ownership winsCheaper below the break-even horizon; full mobility

Bottom line: Ownership usually wins once you pass the break-even horizon and stay put. Below it, renting and investing the difference commonly produces more net worth.

Decision guide

Should I Buy or Keep Renting?

HUD and CFPB guidance points at four gating questions.

  1. 1Will you stay in the area at least 5 years?

    Yes: Continue.

    No: Rent. You likely will not clear transaction costs.

  2. 2Do you have the down payment plus 3–6 months of expenses left over?

    Yes: Continue.

    No: Rent and keep building reserves — closing wipes out thin savings.

  3. 3Is total PITI (plus HOA and maintenance) under 28% of gross monthly income?

    Yes: Continue.

    No: Lower the price target or wait — you would be cost-burdened.

  4. 4Is your job and income stable, with a DTI under 43%?

    Yes: Buy.

    No: Rent until income stabilizes.

Bottom line: Buy when time horizon, reserves, payment ratio and income stability all pass. Any single failure favors renting.

Common mistakes to avoid

  • Mixing APR with the nominal rate — the APR includes fees.
  • Entering annual rate as a decimal (e.g. 0.07 instead of 7).
  • Forgetting taxes, insurance, HOA, or PMI when comparing homes.
  • Ignoring extra payments — even $50/month can shave years off a loan.

Professional tips

  • Compare APR — not just the nominal rate — across offers.
  • Model a scenario with an extra $50–$100/month; the interest savings can be dramatic.
  • Check the amortisation schedule to see when you cross the interest-vs-principal midpoint.

Advantages of using this calculator

  • Instantly compare loan offers side-by-side without a lender pitch.
  • See the full amortization schedule — interest vs principal, month by month.
  • Model extra payments and refinancing scenarios in seconds.
  • 100% free, no signup, no credit pull, no data stored on our servers.

Limitations and caveats

  • APR shown by a lender may differ due to fees, points and credit tier.
  • Does not replace a Loan Estimate or Truth-in-Lending disclosure.
  • Assumes fixed rate — variable-rate products may behave differently.
  • Not a commitment to lend and not a substitute for lender underwriting.

Key terms explained

APR (Annual Percentage Rate)
The yearly cost of a loan expressed as a percentage — includes the interest rate plus most lender fees, so it's the fair number to compare offers with.
Principal
The amount you actually borrow (or currently owe), before any interest is added. Every payment splits between principal and interest.
Amortization
The schedule that shows how each payment is divided between interest and principal. Early payments are mostly interest; later payments are mostly principal.
DTI (Debt-to-Income)
Monthly debt payments divided by gross monthly income. U.S. lenders typically prefer a DTI at or below 36–43%.
Escrow
A lender-managed account that collects property taxes and homeowners insurance monthly, then pays them on your behalf when due.

Before you act — decision checklist

  • Confirm the quoted rate is APR (not just the note rate) so fees are included.
  • Check whether the payment includes taxes and insurance (escrowed) or just principal + interest.
  • Ask about prepayment penalties before committing to any extra-payment plan.
  • Compare at least 3 lender offers — a 0.25% rate difference matters over 15–30 years.

Official Sources & References

The formulas, rates and definitions used by this calculator are aligned with the following official sources:

We use only primary sources — regulators, standards bodies and scheme operators. See our full sourcing policy for details. Sources & References Policy · Calculator Methodology · How We Verify Formulas

Trust & Accuracy

Formula verified

Verified against standard amortisation & Truth-in-Lending (Reg Z) conventions.

Last reviewed

June 27, 2026

Accuracy tested

Edge cases tested, formula validation and manual verification completed.

Editorially reviewed

Reviewed by our editorial team against our published methodology and re-checked whenever rates or limits change.

Government source

Inputs and thresholds follow Consumer Financial Protection Bureau (CFPB) and Federal Reserve published rate data.

Educational use

This tool is provided for education and planning only. It is not financial, tax, legal or medical advice.

Available for

United States, Canada, United Kingdom, Australia, India, European Union.

Currency support

USD · INR · CAD · AUD · GBP · EUR

Privacy

No information entered into this calculator is stored on our servers unless you explicitly choose to save or share your calculation.

Print, share & save

Use the Save, Share, Copy, PDF, CSV and Print actions under the result panel.

Accessibility

Keyboard navigable, screen-reader friendly labels, responsive on mobile and desktop.

Learn more: How we verify formulas · How we test accuracy · Methodology · Editorial policy

Recent Updates

We continuously review and improve our calculators to keep formulas, assumptions and references accurate.

View change log (4)Show
  1. v1.3

    Added Trust & Accuracy panel and machine-readable change log.

  2. v1.2

    Added Save, Share, PDF, CSV and Print actions to results.

  3. v1.1

    Added global currency selector (USD, INR, CAD, AUD, GBP, EUR).

  4. v1.0

    Initial calculator release with verified formulas and Official Sources.

Share this Calculator

Share to any platform, embed it on your site, or scan the QR code. No sign-up required.

Embed code

Frequently Asked Questions

Related guides

In-depth finance guides, worked examples, and expert explainers.

Explore related calculator hubs

What's next?

Your next step

Most people who use this calculator explore these next. Follow the path in order for a complete plan.

  1. 1Home Affordability CalculatorHome price you can afford based on income and DTI.
  2. 2Closing Costs CalculatorUS home purchase closing costs — 2-5% of price.
  3. 3PMI CalculatorMonthly Private Mortgage Insurance based on LTV.
  4. 4Amortization Schedule CalculatorBreak down each payment into principal and interest.

Recently updated

Beginner calculators

Simple, popular tools most people start with.

Advanced calculators

Specialised tools for deeper analysis.

Reviewed by the CreditLoanCalculator editorial team·Last reviewed ·Editorial policy·How we verify formulas
Disclaimer: Results are estimates for informational purposes only and should not be considered financial, medical, legal, or professional advice. Always consult a qualified professional before making decisions.