Mortgage Payment Calculator
How a mortgage payment is calculated
Your monthly mortgage payment is built from principal, the amount you borrow, and interest, the lender’s charge for lending it. This mortgage calculator uses the standard fixed-rate formula, so the payment stays the same every month for the whole term. Early payments are mostly interest, and over time more of each payment goes toward the balance.
Example
A $350,000 loan at 6.5% for 30 years comes to about $2,212 a month, and you would pay roughly $446,000 in interest over the life of the loan. Switch the same loan to 15 years and the payment rises to about $3,049, but total interest drops to roughly $199,000.
What the payment does not include
Property taxes, homeowners insurance, private mortgage insurance (PMI) when your down payment is under 20%, and HOA fees are not included. Many lenders collect taxes and insurance in an escrow account, so your real monthly bill can be several hundred dollars higher. Use this result as a starting point when deciding how much house you can afford.
Frequently asked questions
How much does the interest rate matter?
A lot. On a $350,000 loan over 30 years, each full percentage point changes the monthly payment by roughly $225 to $235.
Can I use this for a car or personal loan?
Yes. Any fixed-rate loan with equal monthly payments uses the same formula. Enter the loan amount, rate and term in years.
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Estimates for education only, not financial advice.