Mortgage Calculator
Calculate your estimated monthly mortgage payment, total payment, and total interest.
Mortgage Results
What Is a Mortgage Calculator?
A mortgage calculator helps estimate the monthly payment required to repay a home loan. Enter the loan amount, annual interest rate, and loan term to calculate an estimated monthly principal and interest payment.
The calculator also estimates the total amount paid over the complete loan term and the total interest paid.
Mortgage Payment Formula
Where:
- M = Monthly mortgage payment
- P = Principal loan amount
- r = Monthly interest rate
- n = Total number of monthly payments
The monthly interest rate is calculated by dividing the annual interest rate by 100 and then dividing it by 12.
Example Mortgage Calculation
Suppose you borrow $200,000 at an annual interest rate of 6.5% for 30 years. The calculator uses the standard fixed-rate mortgage formula to estimate the monthly payment.
The estimated monthly payment is approximately $1,264.14. The total payment over 30 years is approximately $455,090.40, including approximately $255,090.40 in interest.
How Mortgage Payments Work
A fixed-rate mortgage payment generally includes principal and interest. During the early years of a mortgage, a larger portion of each payment typically goes toward interest. As the principal balance decreases, more of each payment goes toward reducing the loan balance.
Your actual mortgage costs may also include property taxes, homeowners insurance, mortgage insurance, closing costs, lender fees, and other expenses. These costs are not included in this basic mortgage calculator.
Factors That Affect Mortgage Payments
The loan amount, interest rate and loan term are the main inputs used by this calculator. A larger loan generally results in a larger monthly payment. A higher interest rate can increase both the monthly payment and total interest, while a longer loan term can reduce the monthly payment but increase the total interest paid over the life of the loan.
Mortgage Calculator Important Note
This calculator provides an estimate for general informational purposes. Actual mortgage payments and borrowing costs can vary because of lender terms, taxes, insurance, fees, points, mortgage insurance, payment schedules and other factors. Always verify important financial calculations with your lender or a qualified financial professional.
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Mortgage Calculator FAQs
What does a mortgage calculator calculate?
A mortgage calculator estimates the monthly mortgage payment, total payment and total interest based on the loan amount, annual interest rate and loan term.
Does this mortgage calculator include taxes and insurance?
No. This calculator estimates principal and interest payments. Property taxes, homeowners insurance, mortgage insurance and other additional costs are not included.
What happens if the interest rate is 0%?
If the interest rate is 0%, the calculator divides the loan amount by the total number of monthly payments.
Can I compare different loan terms?
Yes. You can enter different loan terms, such as 10, 15, 20, 25 or 30 years, and compare the estimated monthly payment and total interest.
Is this mortgage calculator free?
Yes. The Mortgage Calculator on Easy Online Tool is free to use and does not require registration.
Does the calculator include extra mortgage costs?
No. The calculation focuses on principal and interest. Costs such as property taxes, homeowners insurance, mortgage insurance and lender fees are not included.