Mortgage Repayment Calculator
Enter your loan details below to calculate your estimated monthly mortgage payment.
Estimated Monthly Payment:
$0.00
Total Principal Amount:
$0.00
Total Interest Paid:
$0.00
Total Cost of Loan:
$0.00
How to Use the Mortgage Repayment Calculator
Buying a home is one of the most significant financial decisions you will ever make. Our Mortgage Repayment Calculator is designed to help you understand the long-term financial commitment of a home loan. By adjusting the variables above, you can see how different down payments and interest rates impact your monthly budget.
Key Components of Your Mortgage Payment
- Principal: This is the actual amount of money you borrowed from the lender to purchase the home.
- Interest: The cost charged by the lender for borrowing the principal, expressed as an annual percentage rate (APR).
- Loan Term: The duration over which you agree to repay the loan (commonly 15 or 30 years).
- Down Payment: The initial cash payment you make upfront. A higher down payment reduces your loan amount and monthly interest.
Realistic Mortgage Example
If you purchase a home for $400,000 with a 20% down payment ($80,000), you will need a loan of $320,000. At a fixed interest rate of 6.5% over a 30-year term, your monthly principal and interest payment would be approximately $2,022.62. Over the life of the loan, you would pay a total of $408,144 in interest.
Factors That Affect Your Monthly Payment
While this calculator provides a solid estimate of principal and interest, remember that your actual monthly "PITI" (Principal, Interest, Taxes, and Insurance) payment may also include:
- Property Taxes: Levied by your local government based on the home's value.
- Homeowners Insurance: Required by lenders to protect the property against damage.
- Private Mortgage Insurance (PMI): Usually required if your down payment is less than 20%.
- HOA Fees: Fees paid to a Homeowners Association for community maintenance.