Mortgage Calculator
Calculate your monthly payment with PMI, taxes, insurance, and HOA. Compare Conventional, FHA, and VA loans.
Monthly payment
Payment breakdown
Loan summary
Amortization schedule (first 12 + every 12 months)
| Month | Principal | Interest | PMI/MIP | Balance |
|---|---|---|---|---|
| 1 | $331.98 | $2,362.50 | $168.75 | $404,668 |
| 2 | $333.91 | $2,360.56 | $168.75 | $404,334 |
| 3 | $335.86 | $2,358.62 | $168.75 | $403,998 |
| 4 | $337.82 | $2,356.66 | $168.75 | $403,660 |
| 5 | $339.79 | $2,354.69 | $168.75 | $403,321 |
| 6 | $341.77 | $2,352.70 | $168.75 | $402,979 |
| 7 | $343.77 | $2,350.71 | $168.75 | $402,635 |
| 8 | $345.77 | $2,348.70 | $168.75 | $402,289 |
| 9 | $347.79 | $2,346.69 | $168.75 | $401,942 |
| 10 | $349.82 | $2,344.66 | $168.75 | $401,592 |
| 11 | $351.86 | $2,342.62 | $168.75 | $401,240 |
| 12 | $353.91 | $2,340.57 | $168.75 | $400,886 |
| 24 | $379.49 | $2,314.98 | $168.75 | $396,475 |
| 36 | $406.93 | $2,287.55 | $168.75 | $391,744 |
| 48 | $436.34 | $2,258.13 | $168.75 | $386,672 |
| 60 | $467.89 | $2,226.59 | $168.75 | $381,233 |
| 72 | $501.71 | $2,192.76 | $168.75 | $375,401 |
| 84 | $537.98 | $2,156.50 | $168.75 | $369,147 |
| 96 | $576.87 | $2,117.61 | $168.75 | $362,441 |
| 108 | $618.57 | $2,075.90 | $168.75 | $355,251 |
| 120 | $663.29 | $2,031.19 | — | $347,540 |
| 132 | $711.24 | $1,983.24 | — | $339,272 |
| 144 | $762.65 | $1,931.82 | — | $330,407 |
| 156 | $817.79 | $1,876.69 | — | $320,900 |
| 168 | $876.90 | $1,817.57 | — | $310,707 |
| 180 | $940.29 | $1,754.18 | — | $299,776 |
| 192 | $1,008.27 | $1,686.21 | — | $288,056 |
| 204 | $1,081.16 | $1,613.32 | — | $275,488 |
| 216 | $1,159.31 | $1,535.16 | — | $262,011 |
| 228 | $1,243.12 | $1,451.36 | — | $247,561 |
| 240 | $1,332.99 | $1,361.49 | — | $232,065 |
| 252 | $1,429.35 | $1,265.13 | — | $215,450 |
| 264 | $1,532.67 | $1,161.80 | — | $197,633 |
| 276 | $1,643.47 | $1,051.00 | — | $178,529 |
| 288 | $1,762.28 | $932.20 | — | $158,043 |
| 300 | $1,889.67 | $804.80 | — | $136,076 |
| 312 | $2,026.28 | $668.20 | — | $112,522 |
| 324 | $2,172.76 | $521.72 | — | $87,265 |
| 336 | $2,329.83 | $364.65 | — | $60,181 |
| 348 | $2,498.25 | $196.23 | — | $31,140 |
| 360 | $2,678.85 | $15.63 | — | $0 |
PITI — what your monthly payment really includes
When lenders quote a mortgage payment, they usually mean PITI — Principal, Interest, Taxes, and Insurance. Add PMI if your down payment is under 20% (Conventional) or any FHA loan, and HOA dues if you're buying in a community with an association. Here's what each piece is and where the money goes:
- Principal — paying down what you borrowed. Builds your equity.
- Interest — the cost of borrowing, paid to the lender. Front-loaded in amortization.
- Property tax — paid to your county/city, not the lender. The lender escrows it: you pay 1/12 each month, they pay the county once or twice a year.
- Homeowners insurance — covers fire, theft, liability, etc. Required by lenders. Also escrowed.
- PMI (Private Mortgage Insurance) — protects the lender if you default. You pay it, they benefit. Drops automatically when you reach 22% equity (78% LTV) on Conventional loans; FHA MIP often stays for the life of the loan.
- HOA dues — if your community has one, dues fund shared amenities and maintenance. Not escrowed by the lender; you pay separately.
The amortization formula and why early payments are mostly interest
The standard amortization formula calculates a fixed monthly payment that pays off the loan in equal installments over the term. Each payment splits between interest (calculated on the remaining balance) and principal (the rest). Because the balance is highest at the start, early payments are nearly all interest.
Concrete example: a $400,000 loan at 7% for 30 years has a payment of $2,661/month (P&I only). In month 1, $2,333 is interest and only $328 is principal. By year 15, the split is roughly 50/50. Only in the final years does principal dominate.
This is why extra principal payments early have outsized impact. One extra $1,000 payment in year 1 of that 7% loan saves you ~$3,800 in future interest and shaves ~3 months off the term. The same $1,000 in year 25 saves almost nothing.
Conventional vs FHA vs VA loans
Conventional
Not government-backed. Down payment as low as 3% (5% more typical), credit score requirements ~620+. Best when you have strong credit and at least 5–10% down. PMI required below 20% down, but it drops off automatically.
FHA (Federal Housing Administration)
Government-backed. Down payment as low as 3.5% with credit score 580+, or 10% with scores 500–579. Designed for first-time buyers and those with limited savings or shorter credit history. Catch: MIP (mortgage insurance premium) typically stays for the life of the loan unless you put 10%+ down. Higher long-term cost vs. Conventional for borrowers who could qualify either way.
VA (Veterans Affairs)
Available to eligible service members, veterans, and surviving spouses. 0% down possible, no PMI ever, competitive rates. One-time funding fee (1.25–3.3% of loan, financed into the loan). Generally the best deal if you qualify.
15-year vs 30-year — the real tradeoff
On the same $400,000 at 7%:
- 30-year: $2,661/month, $558,000 in total interest over the life of the loan.
- 15-year: $3,595/month (often at a slightly lower rate, say 6.5%, making it ~$3,485/month), $228,000 in total interest. Roughly $300,000+ less interest paid.
The 15-year has higher monthly cash-flow demand, but pays off the home in half the time and saves a fortune in interest. The honest tradeoff: a 30-year payment leaves more room each month for retirement contributions, emergency funds, and life flexibility. Many financial advisors recommend a 30-year with optional extra principal payments when affordable — best of both worlds.
How much house can you afford?
Lenders use two main ratios:
- Front-end ratio (housing costs) — PITI ÷ gross monthly income. Lenders prefer ≤28% (some flex up to 31%). On a $100,000 income, that's a $2,333–$2,583/month max housing payment.
- Back-end ratio (total debt) — all monthly debt payments ÷ gross monthly income. Most lenders cap at 36–43%, sometimes 50% on government-backed loans.
These are maximums, not targets. A common smart rule: keep total housing costs (PITI) below 25% of net take-home pay — much more conservative than what banks will approve, but it leaves real margin for retirement, emergencies, and unplanned home expenses (which always come).
When refinancing makes sense
Old rule of thumb: refinance if the new rate is at least 1% lower than your current rate. Modern rule: calculate the break-even point. Closing costs of $5,000 and a $200/month savings = 25 months break-even. If you plan to stay in the home longer than that, refinancing is worth it.
Cash-out refinancing (taking equity as cash) can make sense for high-interest debt consolidation, but converts unsecured debt into mortgage-secured debt — losing your home becomes the consequence of default. Use carefully.
State-specific calculators
Property taxes vary enormously by state — from 0.3% in Hawaii to 2.2% in New Jersey. We have state-specific mortgage calculators with realistic property tax and insurance defaults pre-filled — see the Texas, Florida, New York, or Californiaversions, or browse from the main calculator's state dropdown. Pair with the Paycheck Calculator to see how state taxes affect your home-buying budget after taxes.