Mortgage payment calculator
Estimate your monthly principal and interest payment.
- Principal$271.20
- Interest$1,625.00
- Total paid
- $682,633
- Total interest
- $382,633
- Payoff
- 360 mo (30.0 yr)
How this mortgage calculator works
A mortgage is a loan used to buy property, repaid in fixed monthly installments of principal and interest (P&I). This free mortgage payment calculator uses standard fixed-rate amortization math: your rate and term set the payment, and each month interest is charged on the remaining balance while the rest of the payment reduces principal.
Early payments are mostly interest; later payments put more toward principal as the balance shrinks. A longer loan term usually lowers the monthly P&I payment but increases total interest over the life of the loan. A shorter term does the opposite.
This tool estimates principal and interest only. Property taxes, homeowners insurance, HOA dues, and mortgage insurance (PMI/MIP) are not included—add those when you estimate a full housing payment or use the home affordability calculator.
Frequently asked questions
How do I calculate a monthly mortgage payment?
For a fixed-rate loan, the monthly principal and interest payment comes from the loan amount, annual interest rate, and term in months using standard amortization. This mortgage calculator runs that formula when you enter those three inputs.
What does principal and interest mean?
Principal is the loan balance you still owe. Interest is the cost of borrowing that balance. Each fixed monthly payment covers interest first, then reduces principal.
Are there different types of mortgages?
Yes. Fixed-rate mortgages keep the same rate and P&I payment for the full term. Adjustable-rate mortgages (ARMs) start with a lower rate that can change later. Terms often run 15 or 30 years, and some loans are interest-only for a period. This calculator models a standard fixed-rate amortizing loan.
Why does the chart change over the loan?
On a fixed-rate amortizing loan, the payment amount stays the same, but the mix shifts. Early months are interest-heavy; later months put more toward principal as the balance shrinks.
Does this mortgage calculator include taxes, insurance, or PMI?
No. This tool estimates principal and interest only. Escrow items like property taxes and homeowners insurance, plus HOA dues or PMI when applicable, would increase your full monthly housing payment.
How does loan term affect what I pay?
A longer term usually lowers the monthly P&I payment but increases total interest over the life of the loan. A shorter term raises the monthly payment and typically cuts total interest.