Enter your home price, down payment, interest rate, and loan term to calculate your mortgage payment. Include property tax, home insurance, and PMI for a complete monthly house payment estimate, not just the principal and interest.
Estimated Total Monthly Payment
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These figures are estimates for planning purposes only. Actual payments depend on the lender's terms, escrow requirements, and applicable fees. Fundslender is not a lender and does not set loan terms.
How to calculate your mortgage payment
When you use a monthly mortgage calculator, you are estimating two things: the principal and interest on the home loan itself, plus the escrow items your lender typically collects alongside it.
The principal and interest portion uses the standard amortization formula. It depends on your loan amount (home price minus down payment), the annual interest rate, and the loan term. Each month, a slightly larger share of your payment goes toward principal and a smaller share toward interest.
On top of that, most lenders require you to escrow property taxes and homeowners insurance so they can pay those bills directly. PMI is added when your down payment is below 20% of the home price.
This calculator adds all four components together so you can see your full estimated monthly payment before you commit to anything.
What affects your monthly mortgage payment
- Home price and down payment — A larger down payment reduces the loan amount and eliminates PMI once you reach 20% equity. Enter different down payment amounts to see the impact.
- Interest rate — Even a 0.5% difference on a 30-year mortgage can change your monthly payment by $100 or more. Use our rate checker to see current estimated rate ranges.
- Loan term — A 15-year mortgage has higher monthly payments but costs far less in total interest compared to a 30-year term.
- Property tax — Tax rates vary significantly by location. Your county assessor's website is the best source for your specific rate.
- PMI — If your down payment is less than 20%, expect to add 0.5% to 1.5% of the loan amount per year until your equity reaches 20%.
How to lower your mortgage payment
- Put more down — A larger down payment reduces your loan balance and can eliminate PMI entirely, which may save you $100 to $200 per month or more.
- Shop for a better rate — A lower interest rate reduces your payment and your total cost over the life of the loan. Even a 0.25% improvement matters over 30 years.
- Choose a longer term — Moving from a 15-year to a 30-year mortgage lowers the monthly payment, though you will pay more in total interest.
- Refinance after purchase — If rates fall after you buy, refinancing can reduce your monthly payment significantly. Our refinance calculator can help you model the savings.
- Request PMI removal — Once your loan balance drops below 80% of the home's value, contact your lender to remove PMI. This can save you hundreds per year.
Not sure how much you can comfortably borrow? Try the affordability calculator to see how a mortgage payment fits your income and existing debts. You can also take the loan readiness quiz to assess where you stand before you apply.