Free Mortgage Calculator
Free mortgage calculator. Enter your loan amount, interest rate, and loan term to calculate your monthly payment, total interest, and full amortization schedule.
| Year | Principal | Interest | Balance |
|---|
Our free mortgage calculator instantly works out your monthly payment, total interest paid, and total loan cost. Enter your home price, down payment, loan term, and interest rate to get a full breakdown — including a year-by-year amortization schedule.
How is a mortgage payment calculated?
Monthly mortgage payments are calculated using the standard amortization formula:
M = P × [r(1+r)ⁿ] / [(1+r)ⁿ − 1]
Where P is the principal loan amount (home price minus down payment), r is the monthly interest rate (annual rate ÷ 12), and n is the total number of monthly payments (years × 12).
What does the monthly payment include?
This calculator covers principal and interest only. Your actual monthly payment may also include property taxes, homeowner's insurance, and private mortgage insurance (PMI) if your down payment is less than 20%. Contact your lender for a full PITI (Principal, Interest, Taxes, Insurance) estimate.
How does the down payment affect my mortgage?
A larger down payment reduces the loan principal, which lowers your monthly payment and the total interest you pay over the life of the loan. Putting down 20% or more also typically eliminates the need for PMI, saving you additional money each month.
15-year vs 30-year mortgage
| Term | Monthly payment | Total interest paid |
|---|---|---|
| 30 years | Lower | Much higher |
| 15 years | Higher | Significantly lower |
A 15-year mortgage typically saves tens of thousands of dollars in interest, but requires a higher monthly payment. Use the calculator above to compare terms side by side.