How the mortgage calculator works
This calculator estimates the monthly payment of principal and interest on a fixed-rate mortgage. We take your loan amount (home price minus down payment) and spread it over the term using the standard amortization formula, so each payment is the same amount for the whole loan.
M = P · [ i(1+i)ⁿ ] / [ (1+i)ⁿ − 1 ]
P = loan amount · i = monthly rate (APR ÷ 12) · n = number of months (years × 12)
What it does not include
To keep the estimate clear, the monthly figure shows principal and interest only. Your real housing payment may also include property taxes, homeowners insurance, HOA dues, and mortgage insurance (PMI). Add those separately for a full picture.
Frequently asked questions
How much house can I afford?
A common guideline is to keep total housing costs under about 28% of your gross monthly income. Use this calculator to try different home prices and see which monthly payment fits that budget.
Does a bigger down payment lower my payment?
Yes. A larger down payment reduces the loan amount, which lowers both the monthly payment and the total interest you pay. It can also help you avoid PMI once you reach 20% down.
15-year vs 30-year mortgage — which is cheaper?
A 15-year term has higher monthly payments but far less total interest. A 30-year term has lower monthly payments but costs more overall. Switch the term above to compare both instantly.
Is this the same as my APR?
This uses your interest rate. APR also folds in certain lender fees, so your lender's APR may be slightly higher. Use the rate from your loan estimate for the closest result.
Estimates only, not financial advice. Confirm figures with your lender.