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Mortgage Calculator

Estimate monthly mortgage payments including tax and insurance (PITI).

Loan Details

Taxes & Insurance (Yearly)

Total Monthly Payment
$0.00
Principal & Interest $0.00
Property Tax $0.00
Home Insurance $0.00
Loan Amount
$0.00

Mortgage Calculator: Estimate Your True Housing Costs

Buying a home is the largest financial transaction most people will make in their lifetime. When browsing real estate listings, it is easy to look at the sticker price and assume you know what your monthly burden will be. However, a true mortgage payment is much more than just paying back the bank.

Our free online Mortgage Calculator goes beyond simple math. It accurately calculates your PITI (Principal, Interest, Taxes, and Insurance) to give you a realistic, comprehensive estimate of what your actual monthly housing payment will look like before you make an offer.

What is PITI?

When lenders qualify you for a mortgage, they look at your complete housing expense, known as PITI:

  • Principal: The portion of your payment that goes toward paying down the actual balance of the loan.
  • Interest: The cost of borrowing the money, paid to the lender. In the early years of a mortgage, interest makes up the vast majority of your payment.
  • Taxes: Local property taxes are usually divided by 12 and collected monthly in an escrow account by your lender.
  • Insurance: Homeowners insurance premiums, which protect the property against damage, are also typically collected monthly via escrow.

How to Use the Mortgage Calculator

To get the most accurate estimate, gather some basic information about the home you want to buy:

  • Home Price & Down Payment: Enter the total purchase price and how much cash you are putting down. The calculator will automatically subtract the down payment to find your true loan amount.
  • Term & Interest Rate: Enter the loan duration (typically 15 or 30 years) and the current annual interest rate you qualify for.
  • Yearly Taxes & Insurance: Check the real estate listing for the property's annual tax history, and get an insurance quote. Enter these yearly amounts, and the calculator will automatically divide them into your monthly payment.

Frequently Asked Questions (FAQs)

What happens if I make a larger down payment?
Increasing your down payment reduces the total amount you need to borrow. This directly lowers your monthly Principal and Interest payments and significantly decreases the total amount of interest you will pay over the life of the loan.
Does this calculator include PMI (Private Mortgage Insurance)?
Currently, this calculator focuses on the core PITI factors. If your down payment is less than 20% of the home's purchase price, your lender will likely require you to pay PMI, which will add an additional cost to your monthly payment until you build enough equity.
Why is my first payment mostly interest?
Mortgages are "amortized" loans. This means the monthly payment stays the same, but the ratio of interest to principal changes over time. Because the loan balance is highest at the beginning, the interest charge is also at its highest. As you slowly pay down the principal over the years, the interest charge shrinks, allowing more of your payment to go toward equity.

Calculate Your Housing Costs

Ready to see what you can actually afford? Scroll up, input your property details, and view your complete monthly breakdown.