Enter home price, down payment, and rate to get your monthly principal-and-interest payment and total interest.
Enter home price, down payment, and rate to get your monthly principal-and-interest payment and total interest.
Monthly payment first, then the full loan cost.
Estimated Monthly Housing Cost
$1,077.71
P&I $1,077.71/mo at 3.5%
Loan payment plus the costs entered below
Next: estimate closing costs and prepaids so you know total cash needed at signing.
On a $300,000.00 home with $60,000.00 down, you borrow $240,000.00. Your 20% down payment avoids PMI on most conventional loans.
Monthly payment breakdown
Payment Breakdown
Total paid: $387,975.60.
Monthly payment breakdown
Payment Breakdown
Total paid: $387,975.60.
This calculator uses the standard amortization formula to turn a home price, down payment, interest rate, and term into a monthly principal-and-interest payment. Amortization means every payment is split between interest (the cost of borrowing that month) and principal (actually paying down the loan). Early in a 30-year mortgage, most of each payment goes to interest; the split gradually flips as the balance shrinks.
The number people overlook is total interest over the life of the loan. On a $240,000 loan at 6.5% for 30 years, you pay roughly $306,000 in interest — more than the amount borrowed. Shortening to 15 years raises the monthly payment but cuts total interest by more than half, and even small rate differences move the total by tens of thousands. Try the comparison mode to see two scenarios side by side.
The full monthly housing estimate adds the property taxes, homeowners insurance, mortgage insurance, and HOA dues you enter to principal and interest. Use the listing, county records, lender documents, and insurance quotes rather than relying on a national guess.
With the amortization formula: M = P × [r(1+r)^n] / [(1+r)^n − 1], where P is the loan amount, r the monthly interest rate, and n the number of monthly payments. The calculator does this for you and also totals the interest over the full term.
A lot. On a $240,000 30-year loan, the difference between 6.0% and 7.0% is about $158 per month — and roughly $57,000 over the life of the loan. This is why comparing offers from multiple lenders is worth the effort.
A 30-year term has lower payments and more flexibility; a 15-year term has a higher payment but a lower rate and dramatically less total interest. A middle path: take the 30-year for safety and make extra principal payments when you can.
Property taxes, homeowners insurance, PMI (usually required below 20% down), and HOA fees. Lenders often collect taxes and insurance through an escrow account, so your actual monthly bill will be higher than the principal-and-interest figure shown here.