Mortgage Calculator
Enter home price, down payment, interest rate, and loan term to compare equal payment and equal principal repayment methods. Includes extra payment savings and amortization schedule.
How to UseExpand how to useCollapse how to use
- 1
Enter home price and down payment
Enter the purchase price of the home and your down payment amount. A common guideline is 20% of the home price. The loan amount and down payment ratio are calculated automatically.
- 2
Set interest rate and loan term
Enter the annual interest rate and loan term you plan to use. You can also set an extra monthly payment to see how additional principal payments affect your total interest and payoff date.
- 3
Compare repayment methods
Monthly payment, total payment, and total interest for both equal payment and equal principal methods are displayed side by side. Use the amortization schedule and balance chart to see the long-term breakdown.
Loan Details
Additional amount paid toward principal each month
Results
Enter loan details to calculate
About Mortgage Calculator
Mortgage Calculator is a free online tool designed to help home buyers plan their finances. Enter your home price, down payment, interest rate, and loan term to compare two repayment methods side by side — equal payment (fixed monthly amount) and equal principal (declining monthly payment). Set an extra monthly payment to instantly see how much interest you can save and how much sooner you can pay off your mortgage. The amortization schedule and balance chart give you a complete picture of your loan over time.
Key Features
- Side-by-side comparison of equal payment vs equal principal methods in real time
- Extra monthly payment calculator showing interest saved and months cut from the term
- Balance chart visualizing principal and interest progression over the loan term
- Yearly and monthly amortization schedule toggle
- Automatic loan amount and down payment ratio calculation from home price and down payment
Use Cases
- Estimating monthly mortgage payments before making an offer on a home
- Deciding between equal payment and equal principal to see total interest difference
- Calculating how much interest and time you save by paying an extra $200/month
- Comparing different loan terms (15-year vs 30-year) to find the right balance
- Understanding how a larger down payment reduces your total cost
FAQ
What is the difference between equal payment and equal principal?
Equal payment (also called fully amortizing) keeps your monthly payment fixed for the life of the loan. Early payments are mostly interest, and later payments are mostly principal. Equal principal divides the principal evenly across all payments, so your monthly bill starts higher but decreases each month. Equal principal results in less total interest paid, but the higher initial payments can be harder to budget for.
How much should I put as a down payment?
A common guideline is 20% of the home price. Putting down 20% typically lets you avoid private mortgage insurance (PMI), reduces your loan amount, and lowers total interest paid. However, if putting 20% down leaves you without emergency savings, a smaller down payment may be more practical. Some loan programs allow as little as 3–5% down.
How effective are extra monthly payments?
Extra payments go directly toward principal, which reduces the balance on which future interest is calculated. Even a modest extra payment can meaningfully shorten your loan term and reduce total interest — especially early in the loan when the balance is highest. Use the extra payment field in this calculator to see the exact savings for your scenario.
Should I use a fixed or adjustable rate for my simulation?
Start with the rate you expect to receive. If you are considering an adjustable-rate mortgage (ARM), also run the simulation at a higher rate (e.g., 1–2% above the initial rate) to stress-test your budget. Fixed rates give you certainty about the total cost of the loan, while ARMs may offer lower initial rates but carry the risk of future increases.
Does the calculated result match my actual mortgage?
This tool uses standard amortization formulas for illustrative purposes. Your actual mortgage may include additional costs such as origination fees, private mortgage insurance (PMI), homeowner's insurance, and property taxes — which can significantly affect the true monthly cost. Always confirm final figures with your lender.