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Mortgage Calculator — Monthly Payment, Amortization Schedule & Extra Payments | Free Tool

Free Mortgage Calculator

Calculate monthly payments with taxes, PMI, insurance & HOA. Get a full amortization schedule, extra payment savings, and more — all free, no sign-up needed.

✓ Monthly Payment ✓ Amortization Table ✓ Extra Payments ✓ Overpayment Planner ✓ Rent vs Buy ✓ Affordability Check
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Mortgage Calculator

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Payment Summary

Estimated Monthly Payment
$2,459
Principal + Interest + Taxes + Insurance
P&I Only
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Loan Amount
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Total Interest
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Payoff Date
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Affordability Check
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Housing-to-income ratio —
0%28% ideal36%43%+50%
30-year schedule
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See how much you can save by making additional payments toward your principal.

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Set a target payoff date or a target interest saving and find out exactly how much extra to pay.

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⚡ Required Extra Monthly Payment

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Compare the true 5/10/20-year cost of renting versus buying your home.

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FAQ

Frequently Asked Questions

How is my monthly mortgage payment calculated?
Your monthly payment consists of principal and interest (P&I), plus escrow items like property taxes, homeowner's insurance, and private mortgage insurance (PMI) if your down payment is below 20%. The P&I uses the standard amortization formula: M = P[r(1+r)^n]/[(1+r)^n-1], where P is loan principal, r is monthly interest rate, and n is number of payments.
What is PMI and when can I remove it?
Private Mortgage Insurance (PMI) protects the lender if you default. It's typically required when your down payment is less than 20% of the home's value. Once your equity reaches 20% (loan-to-value drops to 80%), you can request cancellation. Lenders must automatically cancel it at 22% equity under the Homeowners Protection Act.
How much does making extra payments save?
Extra payments go directly toward your principal, reducing the balance on which interest accrues. Even $100–$200 extra per month on a 30-year mortgage can save tens of thousands in interest and shave years off the loan. Use our Extra Payments tab above to see your exact savings.
What is a good debt-to-income ratio for a mortgage?
Most lenders prefer your total housing costs (PITI) to be under 28% of gross monthly income (front-end ratio). Your total debt including housing should be under 36–43% (back-end ratio). FHA loans allow up to 43%, and VA/USDA can go higher with compensating factors.
Is it better to rent or buy a home?
It depends on how long you stay, the local market, and your financial situation. Buying builds equity and offers stability; renting provides flexibility. Our Rent vs Buy calculator above lets you compare the true 5–20 year net cost of each option based on your specific numbers.
What credit score do I need for a mortgage?
Conventional loans typically require a minimum 620 score, but 740+ gets you the best rates. FHA loans accept scores as low as 580 (with 3.5% down) or 500 (with 10% down). VA and USDA loans have no official minimum but most lenders require 620+.

How to Use This Mortgage Calculator

Enter your home price, down payment, interest rate, and loan term to instantly see your estimated monthly payment. This calculator goes beyond basic P&I — it includes property taxes, homeowner's insurance, PMI, and HOA fees for a complete picture of what you'll actually pay each month.

Understanding Your Results

The payment summary shows your total monthly obligation broken down by component. The amortization table shows every payment over the life of the loan, including how much goes to principal versus interest each month. Early in the loan, most of your payment covers interest — this shifts gradually over time.

Extra Payments: A Powerful Tool

Making even small extra payments each month can dramatically reduce the total cost of your mortgage. An extra $200/month on a $320,000 30-year loan at 7% can save over $80,000 in interest and pay off the loan more than 5 years early. Use the Extra Payments tab to model your specific scenario.

The 28/36 Rule for Affordability

Financial experts recommend that your monthly housing costs should not exceed 28% of your gross monthly income, and your total monthly debt obligations should not exceed 36%. This calculator's affordability meter shows exactly where you stand based on your income input.

Mortgage Types Explained

  • Conventional: Standard loan not backed by the government. Best rates for borrowers with good credit and 20%+ down.
  • FHA: Federal Housing Administration backed. Lower credit requirements, down payments as low as 3.5%, but requires mortgage insurance premium (MIP).
  • VA: For eligible veterans and military. No down payment, no PMI, competitive rates. Funding fee applies.
  • USDA: For rural and some suburban areas. No down payment required. Income limits apply.

Current Mortgage Rate Environment (2026)

Mortgage rates in 2026 continue to reflect the Federal Reserve's post-pandemic rate normalization cycle. 30-year fixed rates have stabilized compared to the rapid hikes of 2022–2023. Buyers who put off purchasing due to rate spikes may find the current environment more predictable, though affordability remains a challenge in many metros due to elevated home prices.

Refinancing activity has begun recovering as some homeowners who locked in at peak rates explore options. If your current rate is more than 1–1.5% above today's prevailing rates, a refinance calculation is worth running.

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