Mortgage Calculator

Calculate monthly payments, total interest, and amortization schedule

Bank-grade calculations
Instant amortization

Loan Details

Purchase Information

Total purchase price of the home
Initial payment toward the home purchase
Down Payment: 16.67% of home price
Loan Amount: $400,000.00
Loan-to-Value Ratio: 83.33%

Loan Terms

Annual interest rate for the mortgage
Length of the mortgage in years

Additional Monthly Costs

Annual property tax amount
Annual homeowners insurance premium
Private Mortgage Insurance (if down payment < 20%)

Monthly Payment Breakdown

Enter your loan details to see payment calculations

Mortgage Tips

Compare Loan Terms

Consider 15-year vs 30-year loans. Shorter terms mean higher monthly payments but significant interest savings.

Extra Principal Payments

Even small extra payments toward principal can save thousands in interest and shorten your loan term.

Total Cost Analysis

Look beyond monthly payments. Consider total interest, closing costs, and long-term financial impact.

Homebuying Strategy Guide

Successful home buying requires understanding key mortgage principles and strategies:

Credit Score Optimization
Improve your credit score before applying. Even small improvements can save thousands in interest.
Down Payment Strategy
Balance down payment size with maintaining emergency funds and other investment opportunities.
Rate Shopping
Get quotes from multiple lenders within 14-45 days to compare rates without hurting your credit.

Homebuying Timeline

Pre-approval
Get pre-approved
House hunting
Find your home
Under contract
Make an offer
Final approval
Complete underwriting
Closing
Sign documents

Frequently Asked Questions

What is included in my monthly mortgage payment?

Your monthly mortgage payment typically includes Principal, Interest, Taxes, and Insurance (PITI). Principal reduces your loan balance, interest is the cost of borrowing, taxes are property taxes, and insurance includes homeowners insurance and possibly PMI.

What is PMI and when do I need it?

Private Mortgage Insurance (PMI) is required when your down payment is less than 20% of the home's value. PMI protects the lender if you default on the loan. You can typically remove PMI once you reach 20% equity in your home.

How much should I put down on a house?

While 20% is ideal to avoid PMI, many programs allow lower down payments. FHA loans require as little as 3.5%, and some conventional loans allow 3-5%. Consider your financial situation, emergency fund, and monthly payment comfort.

What factors affect my mortgage rate?

Mortgage rates depend on your credit score, down payment, loan term, debt-to-income ratio, employment history, and current market conditions. Shopping around with multiple lenders can help you find the best rate.

Important Disclaimer

This calculator provides estimates based on the information you provide. Actual mortgage terms, rates, and payments may vary based on your creditworthiness, lender requirements, and market conditions. This tool should not replace professional financial advice. Consult with qualified mortgage professionals for personalized guidance.

Free Mortgage Calculator 2025 - Calculate Monthly Payments & Total Cost | MyWealthForge