Calculate your total monthly mortgage payment

Worked example

How the monthly payment estimate is built

The figures below are illustrative inputs chosen to explain the arithmetic. They are not current rates, a quote, or an offer.

1. Enter a $400,000 price with 20% down. The calculator subtracts the $80,000 down payment to get a $320,000 loan amount and an 80% loan-to-value ratio.
2. Enter a 6.5% note rate and a 30-year term. The standard fixed-rate amortization formula turns the loan amount, monthly rate, and 360 scheduled payments into the principal-and-interest figure.
3. Add the annual property tax and homeowners insurance you enter, each divided by twelve. Property taxes start empty on purpose, because the rate depends on the specific address.
4. Add any monthly HOA or condo fee, then add mortgage insurance only when the loan-to-value ratio is above 80%. At 20% down it is excluded, which is why the estimate shows $0.00 for it.

Changing one input at a time is the clearest way to see which cost drives the total. A lender determines your actual rate, program, mortgage-insurance requirement, and costs after reviewing a full application.

Your credit profile is one of the factors a lender considers when pricing a rate, so the rate you enter here stays an assumption until a lender reviews your file. If you are getting ready to apply,Hanh Dao's guide to improving your credit score before a mortgagecovers what to check first.