Mortgage calculator
Calculate your monthly mortgage payment, the principal and interest breakdown, and how much you can save with extra payments.
- Total monthly payment
- 1,154.83
- Principal + interest
- 954.83
- Taxes, insurance and other
- 200
- Loan amount
- 200,000
- Down payment
- 50,000
You'll pay a total of 143,739.01 in interest. The total cost of the loan (principal + interest) will be approximately 343,739, and you'll pay off the mortgage in about 30 years.
- Total principal paid
- 200,000
- Total interest paid
- 143,739.01
| Year | Principal | Interest | Remaining balance |
|---|---|---|---|
| Year 0 | 0 | 0 | 200,000 |
| Year 1 | 3,522.07 | 7,935.89 | 196,477.93 |
| Year 2 | 7,187.64 | 15,728.29 | 192,812.36 |
| Year 3 | 11,002.55 | 23,371.35 | 188,997.45 |
| Year 4 | 14,972.88 | 30,858.99 | 185,027.12 |
| Year 5 | 19,104.97 | 38,184.86 | 180,895.03 |
| Year 6 | 23,405.41 | 45,342.39 | 176,594.59 |
| Year 7 | 27,881.06 | 52,324.71 | 172,118.94 |
| Year 8 | 32,539.05 | 59,124.69 | 167,460.95 |
| Year 9 | 37,386.81 | 65,734.89 | 162,613.19 |
| Year 10 | 42,432.08 | 72,147.59 | 157,567.92 |
| Year 11 | 47,682.9 | 78,354.74 | 152,317.1 |
| Year 12 | 53,147.65 | 84,347.95 | 146,852.35 |
| Year 13 | 58,835.04 | 90,118.53 | 141,164.96 |
| Year 14 | 64,754.14 | 95,657.4 | 135,245.86 |
| Year 15 | 70,914.4 | 100,955.11 | 129,085.6 |
| Year 16 | 77,325.64 | 106,001.84 | 122,674.36 |
| Year 17 | 83,998.07 | 110,787.37 | 116,001.93 |
| Year 18 | 90,942.36 | 115,301.05 | 109,057.64 |
| Year 19 | 98,169.56 | 119,531.81 | 101,830.44 |
| Year 20 | 105,691.22 | 123,468.13 | 94,308.78 |
| Year 21 | 113,519.31 | 127,098 | 86,480.69 |
| Year 22 | 121,666.34 | 130,408.94 | 78,333.66 |
| Year 23 | 130,145.28 | 133,387.96 | 69,854.72 |
| Year 24 | 138,969.68 | 136,021.53 | 61,030.32 |
| Year 25 | 148,153.59 | 138,295.59 | 51,846.41 |
| Year 26 | 157,711.67 | 140,195.48 | 42,288.33 |
| Year 27 | 167,659.16 | 141,705.96 | 32,340.84 |
| Year 28 | 178,011.92 | 142,811.16 | 21,988.08 |
| Year 29 | 188,786.47 | 143,494.57 | 11,213.53 |
| Year 30 | 200,000 | 143,739.01 | 0 |
How the mortgage payment is calculated
The loan amount is the home price minus the down payment. The monthly principal and interest payment is calculated using the standard amortization formula, which keeps the payment constant over the whole term:
payment = loan × monthly rate ÷ (1 − (1 + monthly rate)⁻ⁿ)
Each month, part of the payment covers interest on the remaining balance and the rest pays down principal. Early in the loan, most of the payment is interest; over time, the principal share increases. If you add extra monthly payments, they're applied directly to the outstanding principal, which shortens the total term and reduces the interest paid.
month's interest = remaining balance × monthly rate
Property tax, home insurance, PMI (private mortgage insurance, required when the down payment is below 20%) and HOA fees are added on top of the principal and interest payment to get the total monthly payment, where applicable.
total payment = payment (principal + interest) + tax ÷ 12 + insurance ÷ 12 + PMI ÷ 12 + HOA
Worked example
For a $250,000 home, with a 20% down payment ($50,000), a $200,000 loan over 30 years and a 4% rate, the principal and interest payment is around $955/month. Adding $125/month in taxes and $75/month in home insurance, the total monthly payment is around $1,155. Over the 30 years, you'll pay about $143,700 in interest.
Frequently asked questions
- What is PMI and when does it apply?
- PMI (private mortgage insurance) protects the lender when the down payment is below 20% of the home price. It's automatically removed once the remaining balance drops below 80% of the home's original value.
- How do extra payments affect the loan term?
- Any extra monthly payment is subtracted directly from the outstanding principal, not from interest. This reduces the balance faster, shortens the actual loan term, and lowers the total interest paid over the life of the mortgage.
- Why is more interest paid than principal at the start?
- Interest is calculated each month on the remaining balance, which is at its highest at the start of the loan. As the balance drops, the interest portion of each payment decreases and the principal portion increases, even though the total payment stays the same.
- Does this calculator include real taxes and insurance?
- The property tax, home insurance, PMI and HOA amounts are estimates you enter. Actual values depend on your location, the home's assessed value and your insurance policy, so it's worth confirming them with your lender or advisor.
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