Mortgage Calculator
Monthly payment, total interest & amortization
How to Calculate Mortgage Payments
A mortgage payment is calculated using the loan amount, interest rate, and loan term. The standard formula determines your fixed monthly payment that covers both principal and interest over the life of the loan.
Mortgage Payment Formula
M = P[r(1+r)^n] / [(1+r)^n – 1], where M is monthly payment, P is principal (loan amount), r is monthly interest rate, and n is total number of payments.
15-Year vs 30-Year Mortgage
A 15-year mortgage has higher monthly payments but significantly less total interest paid. A 30-year mortgage offers lower monthly payments but you'll pay more interest over the life of the loan. Use this calculator to compare both options by changing the loan term.
How Down Payment Affects Your Mortgage
A larger down payment reduces your loan amount, resulting in lower monthly payments and less total interest. Putting down 20% or more also eliminates the need for Private Mortgage Insurance (PMI), which can save you hundreds per month.