Estimate your monthly house payment including principal and interest.
30 Years Fixed
20 Years Fixed
15 Years Fixed
10 Years Fixed
Payment Summary
Monthly Principal & Interest:$0.00
Total Loan Amount:$0.00
Total Interest Paid:$0.00
Total Cost of Loan:$0.00
How Your Mortgage Payment is Calculated
Purchasing a home is one of the largest financial decisions you will ever make. Understanding how your monthly payment is structured helps you budget effectively for the long term. This calculator focuses on the Principal and Interest (P&I) portion of your mortgage.
The Components of a Mortgage
While this calculator provides the P&I, your total monthly escrow payment usually includes four main components, often referred to as PITI:
Principal: The amount that goes toward paying off the original balance of the loan.
Interest: The cost paid to the lender for borrowing the money.
Taxes: Property taxes charged by your local government.
Insurance: Homeowners insurance and potentially private mortgage insurance (PMI) if your down payment is less than 20%.
Realistic Mortgage Example
Imagine you are purchasing a home for $450,000 with a 20% down payment ($90,000). You secure a 30-year fixed rate at 7%.
In this scenario, your loan amount is $360,000. Your monthly principal and interest payment would be approximately $2,395.09. Over the life of the 30-year loan, you would pay a total of $502,232.40 in interest alone, making the total cost of the loan $862,232.40.
Tips for Reducing Your Monthly Payment
If the calculated payment is higher than your budget allows, consider these three strategies:
Increase your down payment: A larger down payment reduces the loan amount and can help you avoid PMI.
Improve your credit score: Borrowers with higher credit scores typically qualify for lower interest rates, which significantly impacts the monthly cost.
Consider a shorter term: While a 15-year mortgage has higher monthly payments, the interest rates are usually lower, and you will save tens of thousands in interest over time.
function calculateMortgage() {
var homePrice = parseFloat(document.getElementById("homePrice").value);
var downPayment = parseFloat(document.getElementById("downPayment").value);
var annualRate = parseFloat(document.getElementById("interestRate").value);
var years = parseFloat(document.getElementById("loanTerm").value);
var resultDiv = document.getElementById("mortgageResult");
if (isNaN(homePrice) || isNaN(downPayment) || isNaN(annualRate) || isNaN(years)) {
alert("Please enter valid numbers in all fields.");
return;
}
var principal = homePrice – downPayment;
if (principal <= 0) {
alert("Down payment cannot be equal to or greater than the home price.");
return;
}
var monthlyRate = annualRate / 100 / 12;
var numberOfPayments = years * 12;
var monthlyPayment = 0;
if (monthlyRate === 0) {
monthlyPayment = principal / numberOfPayments;
} else {
monthlyPayment = principal * (monthlyRate * Math.pow(1 + monthlyRate, numberOfPayments)) / (Math.pow(1 + monthlyRate, numberOfPayments) – 1);
}
var totalCost = monthlyPayment * numberOfPayments;
var totalInterest = totalCost – principal;
document.getElementById("monthlyPayment").innerText = "$" + monthlyPayment.toLocaleString(undefined, {minimumFractionDigits: 2, maximumFractionDigits: 2});
document.getElementById("totalLoanAmount").innerText = "$" + principal.toLocaleString(undefined, {minimumFractionDigits: 2, maximumFractionDigits: 2});
document.getElementById("totalInterest").innerText = "$" + totalInterest.toLocaleString(undefined, {minimumFractionDigits: 2, maximumFractionDigits: 2});
document.getElementById("totalCost").innerText = "$" + totalCost.toLocaleString(undefined, {minimumFractionDigits: 2, maximumFractionDigits: 2});
resultDiv.style.display = "block";
resultDiv.scrollIntoView({ behavior: 'smooth', block: 'nearest' });
}