🏠 Mortgage Calculator
Estimate your total monthly payment, including taxes, insurance, and PMI.
Default (6.76%) reflects the national average 30-year rate as of Sep 10, 2026 (Freddie Mac Primary Mortgage Market Survey) — enter your own quoted rate for an accurate estimate.
How This Is Calculated
Principal & interest use the standard amortization formula. Property tax, home insurance, and PMI are entered as annual/monthly amounts and added on top — this calculator does not look up local tax rates for you, since these vary enormously by county and municipality.
Frequently Asked Questions
What's included in a mortgage payment?
A typical mortgage payment (often called PITI) includes Principal, Interest, property Taxes, and
homeowners Insurance. If your down payment is under 20%, lenders usually require Private Mortgage
Insurance (PMI) as well.
What is PMI and when do I need it?
Private Mortgage Insurance (PMI) protects the lender if you default on a conventional loan with less
than 20% down. It typically costs 0.5-1.5% of the loan amount annually and can usually be removed once
you reach 20% equity in your home.
How much should my down payment be?
A 20% down payment avoids PMI on a conventional loan, but many buyers put down less — some loan programs
allow as little as 3-3.5% down. The right amount depends on your savings, loan type, and budget.
Guide: understanding your result
- Your payment has four parts: principal, interest, property tax and insurance (PITI) — plus PMI if you put down less than 20%.
- Early payments are mostly interest; the balance falls slowly at first and faster later.
- A 15-year term has a higher payment but usually far less total interest than a 30-year term.
Worked example
A buyer purchases a $400,000 home with $80,000 (20%) down, borrowing $320,000 for 30 years at 6.76% — the recent national average (Freddie Mac Primary Mortgage Market Survey).
- Principal & interest: $2,077.64 per month
- Property tax ($4,800/yr): $400.00 per month
- Homeowners insurance ($1,800/yr): $150.00 per month
- Total monthly payment: $2,627.64 (no PMI at 20% down)
- Total interest over 30 years: $427,951
How the balance falls over 30 years
| Year | Interest paid | Principal paid | Balance at year end |
|---|---|---|---|
| Year 1 | $21,528 | $3,404 | $316,596 |
| Year 2 | $21,290 | $3,641 | $312,955 |
| Year 3 | $21,037 | $3,895 | $309,060 |
| Year 4 | $20,765 | $4,167 | $304,893 |
| Year 5 | $20,474 | $4,457 | $300,436 |
| Year 10 | $18,688 | $6,244 | $273,029 |
| Year 15 | $16,185 | $8,747 | $234,639 |
| Year 20 | $12,679 | $12,252 | $180,861 |
| Year 25 | $7,769 | $17,163 | $105,527 |
| Year 30 | $889 | $24,042 | $0 |
Selected years shown (years 1–5, then every 5th year). Figures are rounded to the nearest dollar.
Monthly principal & interest per $100,000 borrowed
Multiply by your loan amount in hundreds of thousands. Taxes, insurance and PMI are extra.
| Rate (APR) | 15 yr | 20 yr | 30 yr |
|---|---|---|---|
| 5.25% | $804 | $674 | $552 |
| 5.75% | $830 | $702 | $584 |
| 6.25% | $857 | $731 | $616 |
| 6.75% | $885 | $760 | $649 |
| 7.25% | $913 | $790 | $682 |
| 7.75% | $941 | $821 | $716 |
| 8.25% | $970 | $852 | $751 |
Common mistakes to avoid
- Comparing homes by principal & interest only — property tax and insurance can add hundreds per month.
- Forgetting that PMI on a conventional loan can be cancelled: you may request it at 80% loan-to-value, and it generally ends automatically at 78% of the original value.
- Using an advertised rate instead of the rate on your Loan Estimate, which includes your credit profile and points.
Official sources
- CFPB — Owning a Home
- CFPB — What is private mortgage insurance?
- Freddie Mac — Primary Mortgage Market Survey
Examples are calculated live from the same data the calculator uses and are for education only — they are not financial, tax or investment advice.
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