How to Use This Mortgage Calculator
This calculator estimates your total monthly mortgage payment, including principal, interest, property tax, and homeowners insurance — often called "PITI." Enter your home price, down payment, interest rate, and loan term to get an instant, itemized estimate.
What Makes Up a Mortgage Payment?
- Principal: The portion that repays your original loan balance
- Interest: The cost of borrowing, calculated on your remaining balance
- Property tax: Set by your local government, often collected monthly through escrow
- Homeowners insurance: Protects your home; usually required by lenders
How Down Payment Affects Your Payment
A larger down payment reduces your loan amount, which lowers both your monthly payment and total interest paid. Putting down at least 20% also typically helps you avoid private mortgage insurance (PMI), an added monthly cost some lenders require on smaller down payments.
15-Year vs 30-Year Mortgages
A 15-year mortgage has a higher monthly payment but a much lower total interest cost, since you're paying off the loan faster. A 30-year mortgage lowers your monthly payment, giving more flexibility, but costs more in interest over time. Try both terms in the calculator above to compare.
Frequently Asked Questions
Does this include PMI (private mortgage insurance)?
Not automatically. If your down payment is below 20%, many lenders require PMI, which adds an extra monthly cost not shown in this estimate. Check with your lender for an exact figure.
Why is my early interest higher than my principal payment?
Mortgages are amortized, meaning early payments are weighted more toward interest. Over time, as your balance decreases, more of each payment goes toward principal.
Are property tax and insurance the same everywhere?
No, they vary significantly by location. This calculator uses your entered values as estimates — check your local tax rate and get an insurance quote for precise figures.