ClearSum

Mortgage Calculator

Estimate your monthly mortgage payment based on the home price, down payment, interest rate, and loan term — plus optional property tax, insurance, and HOA fees.

Calculator

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Optional — enter 0 if unknown
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Optional — used only to show your payment against the 28% guideline below
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How It Works

Your loan amount is the home price minus your down payment. This calculator applies the standard fixed-rate amortization formula to that amount to find your monthly principal-and-interest payment, then adds a monthly share of property tax, home insurance, and HOA fees (if you entered any) to show an estimated total monthly payment.

Amortization means each payment is split between interest (on the remaining balance) and principal (paying down the loan). Early in the loan, more of each payment goes to interest; later, more goes to principal, even though the total payment stays the same.

Not included: This estimate does not include private mortgage insurance (PMI), closing costs, or adjustable-rate changes. It assumes a fixed interest rate for the full loan term.

Formula

M = P × [ i(1 + i)ⁿ ] / [ (1 + i)ⁿ − 1 ]
  • M — Monthly principal & interest payment
  • P — Loan principal (home price − down payment)
  • i — Monthly interest rate (annual rate ÷ 12)
  • n — Total number of monthly payments (years × 12)

Example

Example inputs: Home price $350,000, down payment $70,000, interest rate 6.5%, 30-year term, $3,600/yr property tax, $1,200/yr insurance.

Result: Loan amount: $280,000.00. Principal & interest: $1,769.79/mo. Total monthly payment (with tax and insurance): $2,169.79. Total interest over 30 years: $357,124.57.

Frequently Asked Questions

Does this include property taxes and insurance?

Yes, if you enter them — the calculator adds a monthly share of the annual property tax and home insurance amounts you provide on top of the principal-and-interest payment. Leave them at 0 if you'd rather see principal and interest alone.

What isn't included in this estimate?

This calculator does not model private mortgage insurance (PMI), closing costs, adjustable-rate mortgages, or changes in tax and insurance costs over time. Lenders will factor in more of your financial picture, including credit score and debt-to-income ratio.

How does the down payment affect my payment?

A larger down payment reduces your loan principal directly, which lowers both your monthly principal-and-interest payment and the total interest you'll pay over the life of the loan.

Why does the interest rate matter so much?

Interest compounds on the remaining balance every month, so even a small rate difference changes both the monthly payment and the total interest paid over a 15- or 30-year term substantially.

This calculator provides estimates for informational purposes only and should not be considered financial, tax, or legal advice.