Mortgage Calculator
Work out what a home loan would cost each month: enter the price, the down payment as an amount or a percentage, the interest rate and the term, and see the loan amount and the monthly principal and interest. Add yearly property tax and home insurance and the tool folds them into a single monthly figure. It also shows the total interest over the full term.
This is an estimate, not a quote. It applies the standard amortising loan formula to the numbers you type and assumes the rate stays fixed for the whole term. Lender fees, mortgage insurance, service or association charges and closing costs are not included; property tax and home insurance appear only if you enter them, and the total interest shown covers the loan alone, not those extras. Rates you are actually offered depend on your credit and the property, so confirm any figure with the lender before you commit — this is not financial advice. Amounts work in any currency, as long as every box uses the same one.
How to estimate a monthly mortgage payment
- Enter the home price, then the down payment — switch between an amount and a percentage of the price.
- Enter the annual interest rate and pick a term of 15, 20, 25 or 30 years, or type your own.
- Add yearly property tax and home insurance if you want them included, then read the monthly payment and the total interest.
When you'd use this
- Setting a budget before you shop — Turning a listed price into the monthly figure you would actually have to find each month.
- Comparing a 15-year and a 30-year term — The shorter term costs more every month and far less in total interest, and both numbers are shown.
- Testing a bigger down payment — Seeing how much a larger deposit takes off the monthly payment and off the interest over the term.
- Checking a quote you were given — Confirming that a payment a lender quoted lines up with the rate, term and loan amount behind it.
Good to know
- Only what you enter is included — The monthly figure is principal and interest, plus the yearly property tax and insurance you type divided by twelve. Lender fees, mortgage insurance, service or association charges and closing costs are not in it.
- It assumes one fixed rate for the whole term — On a variable or periodically reset loan the payment changes whenever the rate does, so treat this as a snapshot at the rate you entered rather than a forecast.
- Tax and insurance do not stay flat — Property is usually reassessed and insurance is renewed each year, so the tax and insurance part of a real payment drifts over time even when the loan payment does not.
- It works in any currency — The maths is plain arithmetic — enter every amount in the same currency and the answer comes back in those units. Term lengths differ by country too: 25 years is standard in some markets, 30 in others.
Frequently asked questions
What formula does this use?
The standard amortising loan formula: M = L × r × (1 + r)ⁿ ÷ ((1 + r)ⁿ − 1), where L is the loan amount, r is the monthly rate — the annual percentage divided by twelve and then by 100, so 6% a year becomes 0.005 a month and n is the number of monthly payments. At a rate of 0% it falls back to the loan amount divided by the number of months.
Does it include property tax and home insurance?
Only if you fill those boxes in. Each takes a yearly amount, which is divided by twelve and added to the principal and interest. Leave them blank and the result is principal and interest alone.
Why is the total interest so much larger than I expected?
Interest is charged on the balance still outstanding every month, for the whole term. Over thirty years at a mid single-digit rate the interest can come close to or exceed the amount borrowed, which is why a shorter term changes the total so sharply.
Is this what a lender will actually charge me?
No — it is an estimate built only from the numbers you type. Lenders add arrangement, valuation and legal fees, may require mortgage insurance when the down payment is small, and offer rates that depend on your credit and the property.
Can I use it for a loan that isn't a mortgage?
Yes, for any loan repaid in equal monthly instalments. Set the down payment to zero and put the amount borrowed in the price box. The EMI Calculator does the same job with fewer boxes if you don't need the tax and insurance lines.