About the Mortgage Calculator
A mortgage payment estimate helps home shoppers understand what a given loan amount, interest rate, and term actually cost month to month — often the deciding factor in what's genuinely affordable versus what a lender is willing to approve.
This calculator uses the standard amortization formula that lenders use to compute fixed-rate mortgage payments, spreading principal and interest across equal monthly installments over the loan term. Early payments are weighted more toward interest, with the balance shifting toward principal as the loan matures.
Frequently Asked Questions
Does this include property tax and insurance?
No — this estimate covers principal and interest only (often called "P&I"). Property tax, homeowners insurance, and PMI (if applicable) are additional and vary heavily by location and lender.
How does a larger down payment change my payment?
A larger down payment reduces the amount financed, which lowers both your monthly payment and the total interest paid over the life of the loan.
Why does more of my payment go to interest early on?
Amortization schedules front-load interest because it's calculated on the remaining balance each month — which is highest at the start of the loan.