Mortgage Calculator
Use our free online mortgage calculator to make accurate calculations.
How to Use the Mortgage Calculator
Step 1: Enter Your Loan Details
Start by entering your home price, down payment, loan term, and interest rate. The down payment can be entered as either a dollar amount or a percentage of the home price. The loan term is typically 15, 20, or 30 years, and the interest rate is the annual rate offered by your lender.
Step 2: Add Property Taxes and Insurance (Optional)
For a more accurate monthly payment calculation, enable the advanced options to include property taxes, home insurance, PMI (Private Mortgage Insurance), HOA fees, and other costs. These can be entered as either dollar amounts or percentages.
Step 3: Include Extra Payments (Optional)
If you plan to make additional payments toward your mortgage, you can specify extra monthly payments, yearly payments, or one-time payments. These extra payments will help you pay off your mortgage faster and save on interest.
Step 4: Review Your Results
After entering your information, click "Calculate Results" to see your monthly payment breakdown, loan summary, and amortization schedule. The results will show you how much of your payment goes toward principal, interest, taxes, and insurance each month.
Step 5: Explore Payment Options
Compare different payment scenarios, such as biweekly payments versus monthly payments, to see how they affect your loan payoff date and total interest paid. You can also view detailed charts showing the breakdown of your payments over time.
Pro Tip
Even small extra payments can significantly reduce your total interest paid and loan term. Try adding just $100 extra per month to see the impact over the life of your loan.
Use our free online mortgage calculator to make accurate calculations.
🏡 Mortgage Calculator
Plan your home loan smartly with our Mortgage Calculator! Whether you're buying your first home or exploring refinancing options, this tool helps you estimate your monthly mortgage payments, including principal, interest, taxes, and insurance. You can also factor in extra payments or annual cost increases to get a more accurate financial outlook. Ideal for U.S. residents.
🧾 What Is a Mortgage?
A mortgage is a type of loan used to purchase real estate. In simple terms, a lender provides the funds to help a buyer acquire a property, and the buyer repays the loan over time—typically 15 or 30 years in the U.S. Each monthly payment includes:
- Principal: The original amount borrowed
- Interest: The cost of borrowing the money
- Taxes & Insurance: Often managed through an escrow account
Ownership is transferred fully only after the loan is completely repaid.
🛠️ Key Mortgage Components
Our calculator considers all essential factors that influence your mortgage payment:
- Loan Amount: The total money borrowed, usually the home price minus your down payment.
- Down Payment: The upfront payment, typically 3%–20% of the home price. Less than 20% usually requires Private Mortgage Insurance (PMI).
- Loan Term: The repayment period—commonly 15, 20, or 30 years.
- Interest Rate (APR): The yearly percentage charged on your loan. Our tool uses fixed interest rates.
💰 Ongoing Homeownership Costs
In addition to your loan, expect the following recurring costs:
- Property Taxes: Local government taxes based on home value
- Home Insurance: Protects your home and belongings
- PMI: Extra insurance if your down payment is under 20%
- HOA Fees: Required in some communities for maintenance
- Maintenance & Utilities: Ongoing costs for upkeep and services
Our calculator includes optional fields to factor in these recurring expenses and their annual growth.
🛑 One-Time Homebuying Costs
While not calculated here, don't forget:
- Closing Costs: Legal fees, inspections, loan fees, etc.
- Initial Renovations: Updates or repairs before moving in
- Moving Costs & New Furnishings: Often overlooked but necessary
🚀 Strategies for Early Repayment
Want to pay off your mortgage faster? Our calculator supports these strategies:
- Make Extra Payments: Monthly, yearly, or one-time lump sums
- Biweekly Payments: Split your monthly payment in half and pay every two weeks to make one extra full payment per year
- Refinancing: Swap your current loan for one with better terms or a shorter duration
Benefits of early repayment:
- Save on interest
- Become debt-free faster
- Enjoy peace of mind
Considerations:
- Check for prepayment penalties
- Weigh investment opportunities vs. paying off debt
- Understand tax implications
🏠 A Quick Look at U.S. Mortgage History
In the early 1900s, home loans were short, risky, and required massive down payments. The Great Depression made homeownership even harder, until the government created FHA and Fannie Mae, revolutionizing home loans with 30-year terms and low down payments. These efforts, and later interventions during financial crises, helped make homeownership more accessible for millions of Americans.
Ready to Plan Smarter?
Use our Mortgage Calculator to take control of your home financing today. Adjust loan terms, interest rates, and optional costs to see how your payments change—then build a strategy that fits your budget and future goals.