Mortgage calculator
Work out your monthly home loan payment, total interest and full payment schedule.
Results
Monthly payment
$2,422.62
This is your payment each month for 30 years at 6.5%, including your other monthly costs.
- Loan repayment
- $2,022.62Paying off the loan and its interest, without other costs
- Other monthly costs
- $400.00
- Loan amount
- $320,000.00
- Down payment
- 20%As a share of the home price
- Total interest
- $408,142.36
- Total of loan payments
- $728,142.36
- Total cost over the term
- $952,142.36Down payment, loan payments and other costs
Loan balance and what you've paid
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How it works
A mortgage is repaid in equal monthly instalments. Early payments are mostly interest because the balance is large; as the balance falls, more of each payment goes to paying off the loan itself. We work out the level payment that brings the balance to exactly zero at the end of the term, then add your other monthly costs on top.
Formula
- Loan = home price − down payment
- r = yearly rate ÷ 12 ÷ 100, n = years × 12
- Monthly payment = Loan × r ÷ (1 − (1 + r)^−n)
- Each month: interest = balance × r; loan repaid = payment − interest
Frequently asked questions
Why is so much of my early payment interest?
Interest is charged on the balance you still owe. At the start the balance is at its highest, so the interest part is large. Every payment trims the balance a little, so the interest share shrinks and the share that pays off the loan grows month by month.
What should I put in other monthly costs?
Anything you pay every month because you own the home: property or council tax, home insurance, mortgage insurance and building or association fees. Divide yearly bills by 12. These don't change the loan itself, only your total monthly outgoing.
Does a bigger down payment always help?
It lowers the amount you borrow, so both the monthly payment and the total interest fall. It also leaves you with less cash on hand, so many people balance a larger deposit against keeping an emergency fund.
Is the rate here the same as the APR my lender quotes?
Use the yearly interest rate on the loan. An APR usually folds fees into the rate, so using it here would slightly overstate the monthly payment. Some countries also compound mortgage interest differently, so treat the result as a close estimate.
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Results are estimates only, not financial advice. Read the disclaimer.