Estimate your monthly payments with taxes, insurance, and HOA fees included.
Please enter valid positive numbers.
Total Monthly Payment$0.00
Principal & Interest$0.00
Property Tax (Monthly)$0.00
Homeowners Insurance (Monthly)$0.00
HOA Fees$0.00
Total Loan Amount$0.00
Total Interest Paid (Over Life of Loan)$0.00
function calculateMortgage() {
var price = parseFloat(document.getElementById('mc-price').value);
var down = parseFloat(document.getElementById('mc-down').value);
var rate = parseFloat(document.getElementById('mc-rate').value);
var term = parseFloat(document.getElementById('mc-term').value);
var taxYearly = parseFloat(document.getElementById('mc-tax').value);
var insYearly = parseFloat(document.getElementById('mc-ins').value);
var hoaMonthly = parseFloat(document.getElementById('mc-hoa').value);
var errorDiv = document.getElementById('mc-error');
var resultsDiv = document.getElementById('mc-results');
// Validation
if (isNaN(price) || isNaN(down) || isNaN(rate) || isNaN(term) || isNaN(taxYearly) || isNaN(insYearly) || isNaN(hoaMonthly)) {
errorDiv.style.display = 'block';
resultsDiv.style.display = 'none';
return;
}
if (price < 0 || down < 0 || rate < 0 || term <= 0) {
errorDiv.style.display = 'block';
errorDiv.innerHTML = "Values cannot be negative, and term must be greater than 0.";
resultsDiv.style.display = 'none';
return;
}
errorDiv.style.display = 'none';
// Calculations
var loanAmount = price – down;
// Handle case where down payment is greater than price
if (loanAmount 0) {
if (rate === 0) {
monthlyPI = loanAmount / numPayments;
} else {
monthlyPI = loanAmount * (monthlyRate * Math.pow(1 + monthlyRate, numPayments)) / (Math.pow(1 + monthlyRate, numPayments) – 1);
}
}
var monthlyTax = taxYearly / 12;
var monthlyIns = insYearly / 12;
var totalMonthly = monthlyPI + monthlyTax + monthlyIns + hoaMonthly;
var totalCost = (monthlyPI * numPayments);
var totalInterest = totalCost – loanAmount;
if (loanAmount === 0) {
totalInterest = 0;
totalCost = 0;
}
// Formatting currency
var formatter = new Intl.NumberFormat('en-US', {
style: 'currency',
currency: 'USD',
minimumFractionDigits: 2
});
// Update DOM
document.getElementById('res-total-monthly').innerHTML = formatter.format(totalMonthly);
document.getElementById('res-pi').innerHTML = formatter.format(monthlyPI);
document.getElementById('res-tax').innerHTML = formatter.format(monthlyTax);
document.getElementById('res-ins').innerHTML = formatter.format(monthlyIns);
document.getElementById('res-hoa').innerHTML = formatter.format(hoaMonthly);
document.getElementById('res-loan-amount').innerHTML = formatter.format(loanAmount);
document.getElementById('res-total-interest').innerHTML = formatter.format(totalInterest);
resultsDiv.style.display = 'block';
}
Understanding Your Mortgage Calculation
Buying a home is often the largest financial decision a person makes. Using a comprehensive mortgage calculator is essential to understand not just the cost of the home, but the ongoing monthly obligation you are committing to. This tool breaks down your payments into the critical components known as PITI.
What is PITI?
Your monthly mortgage payment is typically composed of four main parts, collectively referred to by the acronym PITI:
Principal: The portion of your payment that goes toward paying down the original loan amount. In the early years of a standard amortization schedule, this amount is small but grows over time.
Interest: The cost of borrowing money. This is calculated based on your remaining principal balance and your annual interest rate. Initially, the majority of your payment goes toward interest.
Taxes: Property taxes assessed by your local government. These are usually collected by the lender in an escrow account and paid annually or semi-annually on your behalf.
Insurance: Homeowners insurance protects your property against damage. Like taxes, this is often paid into an escrow account as part of your monthly payment.
How Interest Rates Affect Your Payment
Even a small difference in interest rates can have a massive impact on your monthly payment and the total cost of the loan. For example, on a $300,000 loan, a difference of just 1% in the interest rate can change your monthly payment by hundreds of dollars and your total interest paid by tens of thousands of dollars over a 30-year term.
Private Mortgage Insurance (PMI) and HOA Fees
Beyond PITI, there are other potential costs. If your down payment is less than 20% of the home's purchase price, lenders often require Private Mortgage Insurance (PMI), which protects the lender if you default. Additionally, if you buy a condo or a home in a planned community, you may have Homeowners Association (HOA) fees. While HOA fees are usually paid directly to the association, they factor into your debt-to-income ratio and overall affordability.
Strategies to Lower Your Monthly Payment
If the estimated payment looks too high, consider these strategies:
Increase your down payment: This reduces the principal loan amount and may eliminate the need for PMI.
Shop for lower rates: Improving your credit score can help you qualify for better interest rates.
Extend the loan term: Choosing a 30-year term over a 15-year term lowers monthly payments, though you will pay more in total interest over the life of the loan.
Look for lower tax areas: Property tax rates vary significantly by county and municipality.
Use the calculator above to experiment with different home prices, down payments, and interest rates to find a mortgage plan that fits your budget comfortably.