Mortgage Payment Calculator – Estimate Your Monthly Home Loan Payments
Find out what your monthly mortgage payment will be, including principal, interest, taxes, and insurance.
Use this free mortgage payment calculator to estimate your total monthly cost of home ownership. Adjust loan amount, interest rate, term, and taxes to find the payment that fits your budget and goals.
A mortgage payment typically consists of four main components, often referred to as PITI:
Principal
The portion of your payment that goes toward paying down the actual loan amount
Interest
The cost of borrowing money, calculated as a percentage of your remaining loan balance
Property Taxes
Taxes paid to your local government, typically collected monthly with your mortgage payment
Insurance
Homeowners insurance protects your property, and PMI may be required if you have less than 20% down
Increase Your Down Payment
A larger down payment reduces your loan amount and may help you avoid PMI, potentially saving hundreds monthly
Shop for Better Interest Rates
Even a 0.5% reduction in interest rate can save you thousands over the life of your loan
Choose a Longer Loan Term
A 30-year mortgage has lower monthly payments than a 15-year mortgage, though you'll pay more interest overall
Consider Different Locations
Property tax rates vary significantly by location, affecting your total monthly payment
Understanding how interest rates and loan terms impact your payment helps you make informed decisions:
Interest Rate Impact
On a $400,000 loan over 30 years:
- • 4% interest: ~$1,910/month
- • 6% interest: ~$2,398/month
- • 8% interest: ~$2,935/month
A 2% increase can add $500+ to your monthly payment!
Loan Term Impact
On a $400,000 loan at 6% interest:
- • 15-year term: ~$3,375/month
- • 30-year term: ~$2,398/month
Longer terms mean lower payments but more total interest paid.
Private Mortgage Insurance (PMI) protects lenders if you default on your loan. It's typically required when your down payment is less than 20% of the home's purchase price.
PMI Removal Timeline:
- • Automatic Removal: When your loan balance reaches 78% of the original home value
- • Request Removal: You can request removal when you reach 80% LTV (loan-to-value ratio)
- • Timeline: Typically takes 5-10 years depending on your down payment and loan terms
PMI typically costs 0.5-1% of your loan amount annually, so removing it can save you $150-300+ per month on a typical mortgage.
How accurate is this mortgage payment calculator?
Our mortgage payment calculator provides highly accurate estimates for principal, interest, taxes, and insurance based on the information you provide. However, actual payments may vary slightly based on your specific lender, exact property tax assessments, and insurance premiums.
Does this include all homeownership costs?
This calculator includes the major PITI components (Principal, Interest, Taxes, Insurance) but doesn't include HOA fees, maintenance costs, or utilities. Budget an additional 1-4% of your home's value annually for these expenses.
Should I get a 15-year or 30-year mortgage?
A 15-year mortgage saves significant interest and builds equity faster, but has higher monthly payments. A 30-year mortgage offers more flexibility with lower payments but costs more in total interest over time.
How much house can I afford?
Financial experts recommend keeping your total housing payment under 28% of your gross monthly income and total debt payments under 43%. Use our calculator to find a payment that fits your budget, then work backwards to determine your affordable home price range.