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Mortgage Calculator
Calculate your monthly mortgage payment and total cost of homeownership.
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Mortgage Calculator
Amortization formula
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How Mortgage Payments Work
A mortgage payment is calculated using the amortization formula, which spreads your loan repayment over equal monthly installments. Each payment consists of interest (on the remaining balance) and principal repayment. Early payments are mostly interest; later payments are mostly principal.
M = P × [r(1+r)^n] / [(1+r)^n − 1]
M = monthly payment · P = loan amount · r = monthly rate · n = total payments
15-Year vs 30-Year Mortgage
A 30-year mortgage has lower monthly payments but you pay significantly more interest over the life of the loan. A 15-year mortgage costs more per month but builds equity faster and saves tens of thousands in interest.