Calculate monthly mortgage payments, total interest, and amortization schedule. Free online mortgage calculator.
A mortgage is likely the largest financial commitment you'll ever make. Understanding the numbers — monthly payment, total interest over the loan life, and how extra payments affect the timeline — is essential for making informed decisions. This calculator shows your monthly payment broken down into principal and interest, total cost over the loan term, and a full amortization schedule showing how each payment splits between principal and interest over time. A 30-year $300,000 mortgage at 6.5% costs $1,896/month and $382,633 in total interest — more than the house itself. Switching to 15 years costs $2,613/month but only $170,346 in interest, saving $212,287.
PITI: Principal (loan repayment), Interest (lender's charge), Taxes (property tax), Insurance (homeowner's insurance). Some loans also include PMI (private mortgage insurance) if your down payment is under 20%.
20% avoids PMI (which costs 0.5-1% of the loan annually). FHA loans allow 3.5% down. Some conventional loans allow 3%. Larger down payments reduce monthly costs and total interest paid.
30-year: lower monthly payments, more total interest. 15-year: higher payments (~40% more), dramatically less total interest (often 50% less). 15-year rates are typically 0.5-0.75% lower than 30-year.
Adding $200/month to a 30-year $300,000 mortgage at 6.5% saves ~$120,000 in interest and pays off 7 years early. Extra payments go directly to principal, reducing the balance that accrues interest.
The schedule of how each payment splits between principal and interest over time. Early payments are mostly interest; later payments are mostly principal. Understanding this shows why extra payments early in the loan are most valuable.