Mortgage Calculator
Calculate mortgage payments, total interest and total repayment. Enter your loan amount, annual interest rate and loan term to estimate the monthly mortgage payment, total interest and overall borrowing cost.
Enter the amount you expect to borrow for the property.
Annual interest rate charged on the mortgage.
The number of years used to repay the mortgage.
Optional annual property tax added to the estimated monthly housing cost.
Optional annual home insurance amount.
The calculator estimates your monthly payment and borrowing cost, then shows the principal and interest breakdown.
Mortgage Formula
Monthly Payment = P × [r(1 + r)ⁿ] ÷ [(1 + r)ⁿ − 1]
Where: P = Loan amount, r = Monthly interest rate = Annual rate ÷ 12 ÷ 100, and n = Total number of monthly payments = Loan term × 12.
Total Repayment = Monthly Payment × n. Total Interest = Total Repayment − Loan Amount. If the interest rate is 0%, Monthly Payment = Loan Amount ÷ n.
This calculator estimates principal and interest for a standard amortizing mortgage. Property taxes, insurance, lender fees, closing costs and other charges may affect the actual cost of borrowing.
How to Use the Mortgage Calculator
Enter the Loan Amount
Enter the amount you expect to finance for the property.
Enter the Interest Rate
Enter the annual mortgage interest rate offered by the lender.
Enter the Loan Term
Enter the number of years over which the mortgage will be repaid.
Calculate Your Mortgage
The calculator displays the estimated monthly payment, total interest and total repayment.
Example Mortgage Calculation
500,000 loan at 8.5% for 20 years
Given:
- Loan Amount = 500,000
- Annual Interest Rate = 8.5%
- Loan Term = 20 years
Monthly rate: 8.5% ÷ 12 = 0.708333% per month.
Total payments: 20 × 12 = 240 monthly payments.
Result: Monthly Payment ≈ $4,339.12.
Total Repayment ≈ $1,041,388.80.
Total Interest ≈ $541,388.80.
Understanding Your Mortgage Results
Monthly Payment
The estimated regular payment toward principal and interest. Optional property tax and insurance are displayed separately.
Total Interest
The estimated interest paid over the scheduled mortgage term.
Total Repayment
The combined principal and interest paid across all scheduled mortgage payments.
Important Consideration
Actual mortgage costs may also include taxes, insurance, lender fees, closing costs, maintenance and other property expenses.
Key Mortgage Terms
Principal
The original amount borrowed to finance the property.
Interest Rate
The annual rate charged on the outstanding mortgage balance.
Loan Term
The period over which the mortgage is scheduled to be repaid.
Down Payment
An upfront amount paid toward the property that reduces the amount financed.
Total Interest
The total interest accumulated across the scheduled repayment period.
Loan-to-Value
A ratio comparing the amount financed with the property value or purchase price.
Frequently Asked Questions
What is a mortgage calculator?
A mortgage calculator estimates monthly payments, total interest and total repayment using the amount borrowed, interest rate and loan term.
How is the mortgage payment calculated?
The calculator uses the standard amortizing-loan formula based on the loan principal, monthly interest rate and total number of payments.
Does a longer mortgage term lower the monthly payment?
Generally, yes. A longer term spreads repayment across more months, but it can increase the total interest paid.
Does a larger down payment reduce the mortgage payment?
Generally, yes. A larger down payment reduces the amount that needs to be financed, which can reduce the monthly payment and total interest.
Are property taxes and insurance included?
They are not part of the principal-and-interest calculation. Optional annual property tax and home insurance inputs can be entered to show their monthly amounts separately.
Can the interest rate be 0%?
Yes. At 0% interest, the loan amount is divided evenly across the total number of monthly payments.
Is the calculated payment guaranteed by a lender?
No. It is an estimate based on the values entered. Actual lender terms, fees, taxes, insurance and payment schedules may differ.
Related Calculators
Loan Calculator
Calculate loan payments, total interest and repayment costs.
Loan Repayment Calculator
Calculate loan repayments, interest and borrowing cost.
Personal Loan Calculator
Estimate personal-loan payments and borrowing costs.
Home Loan Calculator
Calculate home-loan payments and interest.
Car Loan EMI Calculator
Calculate car-loan EMI and total interest.
Amortization Calculator
Generate a loan amortization schedule.