How is the monthly principal & interest payment calculated?

It uses the standard amortization formula: M = P × [r(1+r)^n] ÷ [(1+r)^n − 1], where P is the loan principal (home price minus down payment), r is the monthly interest rate, and n is the total number of monthly payments.

Why is my total monthly payment higher than just principal and interest?

Lenders often collect property tax and homeowners insurance monthly through an escrow account alongside your loan payment. This calculator adds those two amounts to principal & interest for a more realistic total.

Does this include PMI (private mortgage insurance)?

Not automatically — PMI usually applies when your down payment is under 20% of the home price. If it applies to you, add its estimated monthly cost to the insurance field.

Is my financial information sent anywhere?

No. All calculations run locally in your browser with JavaScript — nothing is transmitted or stored.

MORTGAGE CALCULATOR

Estimate your monthly mortgage payment and total interest. Nothing leaves your browser.

Home price

Down payment

Interest rate (% APR)

Loan term (years)

Property tax / mo

Insurance / mo

Total monthly payment2,442.62

Principal & interest / mo2,022.62

Total interest paid408,142.36

Loan amount: 320,000.00 · Total paid over 30 years (P&I only): 728,142.36

How to use the mortgage calculator

1
Enter the home price and your down payment.
2
Enter the interest rate (APR) and loan term in years.
3
Optionally enter monthly property tax and insurance estimates.
4
Read the total monthly payment, the principal & interest portion, and total interest over the loan.

Questions

How is the monthly principal & interest payment calculated?: It uses the standard amortization formula: M = P × [r(1+r)^n] ÷ [(1+r)^n − 1], where P is the loan principal (home price minus down payment), r is the monthly interest rate, and n is the total number of monthly payments.
Why is my total monthly payment higher than just principal and interest?: Lenders often collect property tax and homeowners insurance monthly through an escrow account alongside your loan payment. This calculator adds those two amounts to principal & interest for a more realistic total.
Does this include PMI (private mortgage insurance)?: Not automatically — PMI usually applies when your down payment is under 20% of the home price. If it applies to you, add its estimated monthly cost to the insurance field.
Is my financial information sent anywhere?: No. All calculations run locally in your browser with JavaScript — nothing is transmitted or stored.