Estimate your full monthly payment, principal, interest, property tax and insurance, and see the lifetime cost of the loan.
A mortgage payment calculator estimates what you'll pay each month for a home loan, the principal and interest, plus property taxes and homeowners insurance (together, “PITI”). Enter your home price, down payment, interest rate, and loan term to see your full monthly payment and the total interest you'll pay over the life of the loan.
Your monthly payment has four parts, often shortened to “PITI.” Principal pays down the loan balance, interest is the lender's charge on what you still owe, taxes are your property taxes (usually collected monthly into escrow), and insurance is your homeowners policy. Early in the loan most of each payment goes to interest and only a little to principal, which is why the balance falls slowly at first and faster later, as the amortization schedule shows. With under 20% down, most lenders add private mortgage insurance (PMI) until you build equity.
Three levers move the number most: the rate, the term, and your down payment. A lower rate reduces interest across the whole loan; a shorter term raises the payment but can save six figures in total interest; and a larger down payment shrinks the loan and can drop PMI. One extra payment a year, or bi-weekly payments, quietly shaves years off the loan, model both with our extra-payments and bi-weekly calculators.
Lenders size a mortgage with the 28/36 rule: your total housing payment should stay at or below 28% of gross monthly income, and all debt payments (housing plus cars, cards, and loans) at or below 36%. A comfortable payment leaves room for retirement saving, emergencies, and the real cost of owning, which runs well beyond principal and interest. Before shopping, work backward from a payment that fits your budget rather than stretching to a lender's maximum, and remember that being approved for an amount is not the same as it being wise to borrow it.
The interest rate a lender quotes hinges mostly on your credit score, down payment, and the loan type. Borrowers with scores in the mid-700s and up see the best rates; a lower score can add a full percentage point or more, which over 30 years is tens of thousands of dollars. A larger down payment lowers both the rate and the loan amount, and at 20% down it removes private mortgage insurance. Because even a small rate difference compounds over decades, it pays to check your credit, shop at least three lenders, and compare offers on APR rather than the headline rate.
A fixed-rate mortgage locks your rate for the life of the loan, so the payment never changes, which is why it is the default choice for most buyers. An adjustable-rate mortgage (ARM) starts lower but can rise after an initial fixed period, suiting borrowers who expect to move or refinance first. Beyond conventional loans, government-backed options widen access: FHA loans allow lower down payments and credit scores, VA loans serve veterans with no down payment, and USDA loans support rural buyers. Each has trade-offs in cost and eligibility, so the right loan depends on your finances and how long you plan to stay.
The purchase price is only the start. Closing costs typically run 2% to 5% of the loan and cover the appraisal, title insurance, lender fees, and prepaid taxes and insurance, all due at signing on top of your down payment. After you move in, ongoing costs, property taxes, homeowners insurance, maintenance (often budgeted near 1% of the home's value a year), and any HOA dues, add hundreds to the monthly figure. Budgeting for the full picture prevents the common trap of qualifying for a payment you cannot comfortably sustain once the real bills arrive.
There are two different goals: a lower monthly payment or less total interest, and they call for different moves. A larger down payment, a longer term, or buying a cheaper home all reduce the monthly figure, though a longer term raises lifetime interest. To pay less overall, choose a shorter term, make extra principal payments, or refinance when rates fall enough to clear the closing costs. Paying points, prepaid interest that buys a lower rate, can pay off if you keep the loan past the break-even point. Run each scenario in the calculator above to see the trade-off in real numbers before committing.
Principal, interest, property taxes, and homeowners insurance, often called PITI. If your down payment is under 20%, lenders usually add private mortgage insurance (PMI); this calculator includes PMI and removes it once you reach 20% equity.
On most conventional loans, PMI can be cancelled once your loan-to-value reaches 80% (20% equity), and it ends automatically at 78% LTV. This calculator drops PMI from the payment at the 20%-equity point based on your amortization.
Extra payments go straight to principal, so you owe interest on a smaller balance every month afterward. Enter an extra monthly amount above to see how many years and how much interest it saves, the earlier you start, the more you save.
A common guideline keeps your total housing payment at or below 28% of gross monthly income. Try our “How Much Home Can I Afford?” calculator for a personalized range.
With the standard amortization formula: payment = P × r / (1 − (1+r)^−n), where P is the loan amount, r is the monthly rate, and n is the number of payments. The full worked example is on our methodology page.
Yes, more down means a smaller loan, a lower monthly payment, less total interest, and (at 20%+) no PMI.
Conventional loans generally want a score around 620 or higher, with the best rates reserved for the mid-700s and up. FHA loans can accept lower scores with a larger insurance cost. A higher score means a lower rate and a smaller payment.
Twenty percent down avoids private mortgage insurance and lowers your rate and payment, but many buyers put down less using conventional, FHA, or VA programs. More down means less borrowed and less interest, so put down what you can without draining your emergency fund.
See the exact formula and a worked example on our methodology page.