Mortgage Calculator
Estimate your monthly mortgage payment.
Results update as you type.
This calculator is for illustrative purposes only. Actual rates, fees and terms vary by lender. Consult a qualified financial adviser before making borrowing decisions.
How it works
Your monthly mortgage payment is the fixed amount you send your lender each month to repay a home loan, split between interest on the outstanding balance and principal that steadily reduces what you owe. Knowing this number before you shop matters because it decides whether a home fits your budget and how lenders judge affordability against your income. This mortgage calculator derives the loan amount by subtracting your down payment from the home price, then applies the standard fixed-rate amortization formula so every payment across the term is identical. That formula is used because it guarantees the balance reaches exactly zero at the final payment while front-loading interest — early payments are mostly interest, later ones mostly principal. A larger down payment or a shorter term lowers the total interest a mortgage calculator will project, sometimes dramatically. Homebuyers, real estate agents and loan officers rely on a mortgage calculator to compare offers, test how rate changes ripple through the monthly cost, and set a realistic price ceiling. Remember the result covers principal and interest only; property taxes, homeowners insurance, private mortgage insurance and HOA dues are billed separately and can add hundreds of dollars to your true monthly housing cost.
M = P × r ÷ (1 − (1 + r)^−n), where r = annual rate ÷ 12 and n = years × 12
The payment formula is the present value of an annuity solved for the payment. P is the loan amount, r the monthly rate, and n the total months. Dividing by (1 − (1 + r)^−n) spreads that principal across n payments while charging interest each month on the shrinking balance. Because the balance falls over time, a constant payment keeps interest and principal in step so the loan ends exactly at zero.
Source:Consumer Financial Protection Bureau (CFPB)
We review all our tools from time to time to ensure accuracy.
Worked example
How to use this calculator
- 1
Enter your values
Enter home price, interest rate and loan term.
- 2
Adjust the options
Adjust down payment if they apply — sensible defaults are already set.
- 3
Read your result
Monthly payment updates instantly as you type — no button to press.
Frequently asked questions
What is a good interest rate on a mortgage?
A competitive rate depends on the market, your credit score, the loan term and your down payment. Borrowers with strong credit and 20% down typically secure the lowest advertised rates, while lower scores pay a premium. Even a quarter-point difference changes thousands over a 30-year loan. Compare offers from several lenders on the same day, since rates move daily, and always check the APR, which folds in fees.
How much should my down payment be?
Twenty percent is the classic benchmark because it removes private mortgage insurance and shrinks the loan, but many buyers put down far less. Conventional loans can start near 3%, FHA loans at 3.5%, and some VA and USDA loans require nothing down. A bigger down payment lowers your monthly payment and total interest, yet draining your savings for it can leave you exposed, so balance both goals.
How accurate is this mortgage calculator?
The math is exact for a fixed-rate loan: it reproduces an amortization schedule to the cent. It is only an estimate of your true housing cost because it excludes property taxes, homeowners and mortgage insurance, HOA fees and closing costs. Adjustable-rate mortgages also reset after their intro period, which this fixed-rate model does not capture. Treat the principal-and-interest figure as reliable and add the escrow items separately.
What is the difference between principal and interest?
Principal is the portion of each payment that reduces the balance you actually borrowed; interest is the lender's charge for lending it, calculated on the remaining balance. Early in the loan the balance is large, so most of your payment is interest. As the balance falls, more of each fixed payment goes to principal. This is why paying extra toward principal early saves a disproportionate amount of interest.
Can I use this for a refinance?
Yes. Enter your new loan amount as the home price with a zero down payment, plus the new rate and remaining term, and the tool projects the refinanced payment. Compare it against your current payment to see the monthly savings, then weigh that against closing costs to find your break-even point. A refinance that lowers the payment by extending the term can still raise total interest paid.