Mortgage Calculator
The full monthly payment: principal, interest, taxes, insurance and PMI.
A $400,000 home with 20% down at 6.5% over 30 years costs $2,023 a month in principal and interest, but about $2,539 once property tax and insurance are added. That full PITI figure, not the P&I figure, is what lenders qualify you on.
How this is calculated
Year-by-year breakdown
The free mortgage calculator that shows the real monthly payment
Most mortgage calculators quote principal and interest and stop there, which is how buyers end up several hundred a month over budget. This one adds everything the lender will actually collect: property tax, home insurance, HOA or society dues, and mortgage insurance while your equity is under 20%. That total is the number to compare against your income, not the P&I figure.
It also gives you the complete amortization schedule: how much of each year goes to principal, how much to interest, and what is still outstanding. Early on, almost everything is interest, which is the single most useful thing a first-time buyer can see.
Worked example
A $400,000 home with 20% down means a $320,000 loan. At 6.5% over 30 years, principal and interest come to $2,023 a month. Add 1.1% property tax ($367) and $1,800 a year of insurance ($150), and the real payment is about $2,539, a quarter more than the headline. Over the full term the interest alone is roughly $408,000, more than the loan itself.
| Home price | Down payment | Rate | P&I | With tax and insurance |
|---|---|---|---|---|
| $300,000 | 20% | 6.5% | $1,517 | ~$1,942 |
| $400,000 | 20% | 6.5% | $2,023 | ~$2,539 |
| $400,000 | 10% | 6.5% | $2,275 | ~$2,942 incl. PMI |
What a smaller down payment really costs
Dropping from 20% to 10% down on a $400,000 home does three things at once: it raises the loan, it raises the monthly payment, and it triggers private mortgage insurance at roughly 0.5 to 1% of the loan a year until you reach 20% equity. Slide the down payment and watch all three move together. PMI is not permanent, but it can easily cost $10,000 or more before it drops off.
Buying in India instead? The home loan EMI calculator uses Indian defaults. Not sure buying is right at all? Run the rent vs buy calculator. Thinking about paying it down faster? The loan EMI calculator has an extra-payment field that shows the interest saved.
Key facts
| US average property tax | About 1.1% of home value a year, varying widely by state |
|---|---|
| PMI cost | Roughly 0.5 to 1% of the loan a year while equity is under 20% |
| PMI cancellation | On request at 20% equity, automatic at 22% |
| Affordability guide | PITI under 28% of gross income, total debt under 36% |
| Typical term | 30 years in the US, 20 years in India |
How to use the Mortgage Calculator
- Enter the home price and the down payment percentage.
- Set the interest rate and the loan term, usually 30 years in the US or 20 in India.
- Add the annual property tax rate, home insurance premium and any HOA or society dues.
- If your down payment is under 20%, set the mortgage insurance rate, typically 0.5 to 1%.
- Read the total monthly payment, then the split between principal and interest, taxes and insurance.
- Open the schedule to see how the balance falls year by year.
Sources
Last reviewed and updated: 23 August 2026. Estimates only, not financial or tax advice.
Frequently asked questions
How is a monthly mortgage payment calculated?
Principal and interest use the standard amortization formula: EMI = P x i x (1 + i)^n / ((1 + i)^n - 1), where i is the annual rate divided by 12 and n the number of months. The full payment then adds property tax divided by 12, insurance divided by 12, HOA dues and mortgage insurance.
What is PITI?
Principal, Interest, Taxes and Insurance, the four parts of a full mortgage payment. Lenders qualify you on PITI, not on principal and interest alone, which is why the headline figure from most calculators understates what you will actually pay.
When does PMI stop?
Private mortgage insurance is charged while your equity is under 20% of the home's value. It can be cancelled on request at 20% equity and must be dropped automatically at 22% under the US Homeowners Protection Act. This calculator stops charging it once amortization takes you past 20%.
How much house can I afford?
A common guide is that the full PITI payment should stay under 28% of gross monthly income, and total debt payments under 36%. Run your salary through the salary calculator to get the gross figure, then compare it with the total monthly payment here.
Does a bigger down payment save money?
Yes, three times over: a smaller loan, less interest over the term, and no mortgage insurance once you reach 20%. The counter-argument is opportunity cost, since that cash could be invested instead. The rent vs buy calculator prices exactly that trade-off.
Is this mortgage calculator free?
Yes, free with no sign-up or ads, and it works for both US dollars and Indian rupees.