Mortgage Calculator

A mortgage calculator is an online tool that estimates monthly mortgage payments including principal, interest, property taxes, homeowners insurance, and HOA fees (collectively called PITI+HOA). Whether you're shopping for your first home, refinancing an existing mortgage, comparing loan options, or planning home affordability, our mortgage calculator provides comprehensive payment estimates to help you budget and make informed financing decisions.

This calculator determines monthly payments based on home price, down payment, loan amount, interest rate, loan term (15 or 30 years), property taxes, insurance, and HOA fees. It shows principal & interest separately, total monthly payment including all costs, total amount paid over the loan life, and total interest paid. It helps you understand true homeownership costs beyond just the mortgage.

Understanding total monthly costs is essential before committing to a mortgage. Many homebuyers focus only on home price without considering property taxes, insurance, and HOA fees, which can add hundreds of dollars monthly. Lenders qualify buyers based on total housing payment (PITI), not just principal and interest. Underestimating monthly costs leads to financial stress and risk of foreclosure.

Homebuyers use mortgage calculators to determine affordability, compare 15-year vs. 30-year loans, evaluate the impact of larger down payments, and understand how interest rates affect total costs. Real estate agents benefit from helping clients understand realistic budgets. Homeowners considering refinancing use it to compare current payments against new loan scenarios.

The tool ensures accuracy using standard amortization formulas, provides comprehensive cost breakdowns, and allows scenario comparison to optimize financing decisions. It's particularly valuable when determining home affordability, comparing loan offers from different lenders, evaluating down payment amounts, or deciding between loan terms.

Home Affordability: Calculate maximum affordable home price based on desired monthly payment, down payment, and current interest rates.

Loan Comparison: Compare 15-year vs. 30-year mortgages to see how loan term affects monthly payments and total interest paid.

Down Payment Analysis: Evaluate how different down payment amounts affect monthly payments, PMI requirements, and total loan costs.

Refinancing Decisions: Compare current mortgage payments against refinancing scenarios to determine potential savings.

Budget Planning: Understand total homeownership costs including taxes and insurance to create realistic household budgets.

Using our mortgage calculator: enter home price, down payment (percentage or dollar amount), loan term (15 or 30 years), interest rate, annual property taxes, annual insurance, and monthly HOA fees if applicable. The calculator shows monthly principal & interest, total monthly payment (PITI+HOA), and totals over the loan life.

Monthly payment formula: M = P[r(1+r)^n]/[(1+r)^n-1], where P = principal (loan amount), r = monthly interest rate (annual rate/12), n = number of payments (years × 12). For example, $300,000 loan at 6.5% for 30 years: r = 0.065/12 = 0.00542, n = 360 months, M = $1,896/month. Add taxes ($250/month), insurance ($100/month), HOA ($50/month) = $2,296 total monthly. Over 30 years: $682,560 paid ($300,000 principal + $382,560 interest). Compare to 15-year: $2,613/month, $470,340 total, saving $212,220 in interest. All calculations are performed locally for privacy.