Free Mortgage Calculator: Estimate Your Monthly Home Payment
A mortgage is the largest financial commitment most people make in their lifetime. Understanding how your monthly payment is calculated — and how different factors affect it — is essential for making a sound home-buying decision. The key variables are the property price, your down payment, the interest rate, and the loan term in years. Even small changes to any of these inputs can shift your total cost by tens of thousands of dollars.
Our mortgage calculator uses the standard amortization formula M = P[r(1+r)^n]/[(1+r)^n-1] to estimate your monthly payment, total interest costs, and the overall price you will pay for your home over the life of the loan. By adjusting the down payment or interest rate, you can see how even small changes dramatically impact your total cost. A larger down payment reduces both your monthly payment and total interest, while a lower interest rate can save you tens of thousands over the loan term.
Before committing to a mortgage, use this calculator to compare different scenarios. Try different loan terms — 15, 20, 25, or 30 years — to see how each affects your monthly budget and total cost. Remember that the monthly payment shown here covers only principal and interest; your actual payment may include property taxes, homeowner insurance, and possibly private mortgage insurance (PMI) if your down payment is less than 20%.
For a deeper analysis of how your payments are distributed between principal and interest each month, try our amortization schedule calculator. If you are also comparing personal or auto financing, our loan calculator can help you evaluate those options side by side. And to understand how your savings can grow over time to fund a future down payment, check the compound interest calculator.