Mortgage Calculator
Estimate your monthly mortgage payment, including taxes and insurance.
What goes into a mortgage payment
A mortgage payment usually has more moving parts than a standard loan: principal and interest (P&I) form the base, calculated on the amount you borrow after your down payment — not the full home price. On top of that, lenders often collect property taxes and homeowners insurance monthly (sometimes bundled into an escrow account), and if your down payment is under 20%, private mortgage insurance may apply as well.
This calculator computes P&I using the same amortization formula as any fixed-rate loan, then adds your estimated monthly taxes, insurance, and HOA dues on top to give a more realistic total monthly cost — the number that actually matters for budgeting.
How the down payment changes things
Every dollar of down payment reduces the loan amount dollar for dollar, which lowers both the monthly payment and the total interest paid over the life of the loan. A 20% down payment is a common target because it typically avoids private mortgage insurance, but the right amount depends on your savings, other goals, and local market conditions.
Try comparing a 15-year term against a 30-year term at the same rate — the monthly payment is higher, but total interest paid is dramatically lower. Once you have a sense of the loan amount and monthly cost, the Monthly Budget Calculator can show how it fits alongside your other expenses, and the Net Worth Calculator tracks the home equity you build over time.
Frequently asked questions
What's a realistic estimate for taxes and insurance?
It varies a lot by location. As a rough starting point, property taxes often run 0.5-2% of home value per year, and insurance a few hundred dollars a month — check local rates for a more accurate figure, since this varies significantly between regions.
Should I put down 20%?
20% is a common benchmark mainly because it usually avoids private mortgage insurance (PMI), an extra monthly cost on top of P&I. It's not a hard requirement — many loans allow less down — but putting down less generally means a higher monthly payment and more total interest.
Why is my payment much higher than just principal and interest?
Taxes, insurance, and HOA dues (if applicable) are often collected monthly alongside your loan payment. Toggle the "Monthly taxes, insurance & HOA" field to 0 to see the principal-and-interest-only figure for comparison.
How is this different from the Loan Repayment calculator?
The math is the same amortization formula. This calculator adds mortgage-specific details — a down payment and optional monthly taxes/insurance/HOA — on top. For a simpler loan without those extras, use the Loan Repayment Calculator.