What is included in a monthly mortgage payment?

A monthly mortgage payment typically includes principal (loan repayment), interest, property taxes, and homeowners insurance — often called PITI. If your down payment is less than 20%, you may also pay PMI (Private Mortgage Insurance).

How much should I put down on a house?

Most lenders require a minimum of 3–5% down. Putting 20% down eliminates PMI and reduces your monthly payment. The right amount depends on your savings, other debts, and how much you want your monthly payment to be.

What is an amortization schedule?

An amortization schedule shows how each monthly payment is divided between principal and interest over the life of the loan. Early payments are mostly interest, while later payments are mostly principal.

Is a 15-year or 30-year mortgage better?

A 15-year mortgage has higher monthly payments but dramatically lower total interest — often $100,000+ in lifetime savings on a typical loan. A 30-year mortgage offers payment flexibility and frees up cash flow for investing or other goals. The best choice depends on your income stability, other financial priorities, and risk tolerance.

How is PMI calculated?

Lenders typically charge PMI as 0.3%–1.5% of the loan amount per year, divided into monthly installments. Your exact rate depends on your credit score, loan-to-value ratio, and loan program. PMI can usually be removed once you reach 20% equity in the home.

Mortgage Payment Calculator

Use this calculator to estimate your monthly mortgage payment. Enter your home price, down payment, loan term, and interest rate to see a detailed breakdown including property taxes, insurance, and PMI. View the full amortization schedule showing how each payment is split between principal and interest over the life of the loan.

Last updated: June 22, 2026Reviewed by the CalcMountain editorial team

About this calculator

Your monthly mortgage payment is almost never just "principal and interest." For most U.S. homeowners it is bundled into a single payment called PITI — Principal, Interest, Taxes, and Insurance — that the lender collects each month and disburses on your behalf. If you put less than 20% down on a conventional loan, lenders typically add Private Mortgage Insurance (PMI) on top of PITI until you build enough equity.

This calculator estimates your full monthly housing cost using the standard amortization formula lenders use, then breaks the result down into each component so you can see exactly where every dollar is going. It also produces a full amortization schedule, which is the month-by-month split between the interest you pay the bank and the principal that actually reduces your loan balance.

Use the result as a planning estimate, not a quote. Actual mortgage payments depend on lender-specific underwriting, your credit profile, loan program (conventional, FHA, VA, USDA), discount points, escrow rules in your state, and the precise property tax and insurance numbers for the address. Rates also change daily.

How the PITI payment is calculated

Monthly Principal & Interest (M): M = P × [ r(1+r)^n ] / [ (1+r)^n − 1 ] Where: P = Loan principal (home price − down payment) r = Monthly interest rate (annual rate ÷ 12, as a decimal) n = Total number of monthly payments (years × 12) Total monthly payment (PITI + PMI): Payment = M + (Annual Property Tax ÷ 12) + (Annual Home Insurance ÷ 12) + Monthly PMI Example: $280,000 loan at 6.5% over 30 years r = 0.065 / 12 = 0.005417 n = 360 M = 280,000 × [0.005417 × (1.005417)^360] / [(1.005417)^360 − 1] M ≈ $1,769.59 per month (principal + interest only)

Estimating your payment step by step

Enter the home purchase price (the sale price you and the seller agree on).
Enter your down payment in dollars. Conventional loans typically require 5–20%; FHA loans allow 3.5%; VA loans can be 0%.
Choose a loan term. 30 years is most common in the U.S.; 15 years cuts interest paid dramatically but raises the monthly payment.
Enter the interest rate you have been quoted (or use a current national average if you are exploring).
Enter annual property tax. For an estimate, multiply the home price by your county effective tax rate (typically 0.5%–2.5%).
Enter annual home insurance. Most U.S. policies run $1,000–$3,000 depending on location and home value.
If your down payment is below 20%, add monthly PMI (typically 0.3%–1.5% of the loan amount per year, divided by 12).
Review the monthly breakdown and the amortization schedule. The chart shows how interest dominates early payments and principal dominates late ones.

Sample payment scenarios

First-time buyer, 10% down

Home price: $350,000 Down payment: $35,000 (10%) Loan: $315,000 at 6.5%, 30 years Property tax: $4,200/yr; insurance: $1,800/yr; PMI: $150/mo Principal & interest: $1,991/mo Taxes + insurance: $500/mo PMI: $150/mo Total monthly payment: ≈ $2,641 Notice how PMI alone costs $1,800/year — the equivalent of a small annual vacation lost to insurance.

15-year vs 30-year, same loan

Loan: $280,000 at 6.5% 30-year: $1,770/mo, total interest ≈ $357,000 15-year: $2,440/mo, total interest ≈ $158,000 The 15-year payment is ~$670 higher per month, but the buyer saves roughly $199,000 in lifetime interest. The break-even decision usually depends on whether that extra $670/mo would otherwise be invested and at what return.

Higher rate, same monthly target

If rates rise from 6.5% to 7.5% on a 30-year loan and you want to keep the same $1,770 P&I payment, your maximum loan amount drops from about $280,000 to about $253,000 — roughly $27,000 less house for the same monthly cost. This is why small rate moves matter so much for affordability.

When to reach for this calculator

Use this calculator any time you want a realistic picture of monthly housing costs — when shopping for a home, comparing offers from different lenders, deciding between a 15-year and 30-year term, or testing how much rate-and-down-payment changes affect your budget.

It is not a substitute for a lender's Loan Estimate (the standardized disclosure required under TRID). Once you apply for a specific loan, the lender provides exact figures including escrow accounting, prepaid interest, lender fees, and discount points. Use those numbers for the closing decision; use this calculator for the planning decisions that come first.

For other related questions, see the rent-vs-buy calculator (to decide whether buying makes sense at all), the home affordability calculator (to find the price you qualify for), and the mortgage refinance calculator (to compare a new loan against your current one).

Mistakes that throw off a payment estimate

Forgetting taxes and insurance. The "P&I only" payment a lender quotes is usually 20–30% lower than the full PITI you will actually pay each month.
Ignoring PMI when the down payment is below 20%. PMI typically runs 0.3%–1.5% of the loan balance per year and can add hundreds of dollars to the monthly payment.
Using the home price as the loan amount. The loan is the price minus your down payment; using the wrong number inflates the calculated payment.
Comparing a 15-year payment to a 30-year payment on monthly cost alone. The relevant comparison is lifetime interest and what you would do with the difference.
Underestimating property tax in high-tax states (NJ, IL, NH, TX) where rates above 2% are common. A small error compounds across hundreds of payments.
Confusing APR with note rate. The note rate drives the P&I payment; the APR includes fees and is mostly useful for comparing two loan offers, not for monthly-payment math.

Mortgage payment questions, answered

References & official guidance

Mortgages: Loan Estimate explainer — U.S. Consumer Financial Protection Bureau
Private Mortgage Insurance (PMI) overview — U.S. Consumer Financial Protection Bureau
Homeowner Affordability and Stability — calculator guidance — U.S. Department of Housing and Urban Development

Mortgage Payment Calculator

Inputs

Home Price

Down Payment

Loan Term

Interest Rate

Annual Property Tax

Annual Home Insurance

Monthly PMINot required (20%+ down)

$0.00/month

Override auto-calculate

Results

Monthly Payment

$2,269.79

Principal & Interest

$1,769.79

Loan Amount

$280,000.00

Total Interest

$357,124.57

Amortization Schedule

Month	Payment	Principal	Interest	Balance
1	$1,769.79	$253.12	$1,516.67	$279,746.88
2	$1,769.79	$254.49	$1,515.30	$279,492.38
3	$1,769.79	$255.87	$1,513.92	$279,236.51
4	$1,769.79	$257.26	$1,512.53	$278,979.25
5	$1,769.79	$258.65	$1,511.14	$278,720.60
6	$1,769.79	$260.05	$1,509.74	$278,460.54
7	$1,769.79	$261.46	$1,508.33	$278,199.08
8	$1,769.79	$262.88	$1,506.91	$277,936.20
9	$1,769.79	$264.30	$1,505.49	$277,671.90
10	$1,769.79	$265.73	$1,504.06	$277,406.16
11	$1,769.79	$267.17	$1,502.62	$277,138.99
12	$1,769.79	$268.62	$1,501.17	$276,870.37

Last updated: June 22, 2026Reviewed by the CalcMountain editorial team

About this calculator

How the PITI payment is calculated

Estimating your payment step by step

Enter the home purchase price (the sale price you and the seller agree on).
Enter your down payment in dollars. Conventional loans typically require 5–20%; FHA loans allow 3.5%; VA loans can be 0%.
Choose a loan term. 30 years is most common in the U.S.; 15 years cuts interest paid dramatically but raises the monthly payment.
Enter the interest rate you have been quoted (or use a current national average if you are exploring).
Enter annual property tax. For an estimate, multiply the home price by your county effective tax rate (typically 0.5%–2.5%).
Enter annual home insurance. Most U.S. policies run $1,000–$3,000 depending on location and home value.
If your down payment is below 20%, add monthly PMI (typically 0.3%–1.5% of the loan amount per year, divided by 12).
Review the monthly breakdown and the amortization schedule. The chart shows how interest dominates early payments and principal dominates late ones.

Sample payment scenarios

First-time buyer, 10% down

15-year vs 30-year, same loan

Higher rate, same monthly target

When to reach for this calculator

Mistakes that throw off a payment estimate

Forgetting taxes and insurance. The "P&I only" payment a lender quotes is usually 20–30% lower than the full PITI you will actually pay each month.
Ignoring PMI when the down payment is below 20%. PMI typically runs 0.3%–1.5% of the loan balance per year and can add hundreds of dollars to the monthly payment.
Using the home price as the loan amount. The loan is the price minus your down payment; using the wrong number inflates the calculated payment.
Comparing a 15-year payment to a 30-year payment on monthly cost alone. The relevant comparison is lifetime interest and what you would do with the difference.
Underestimating property tax in high-tax states (NJ, IL, NH, TX) where rates above 2% are common. A small error compounds across hundreds of payments.
Confusing APR with note rate. The note rate drives the P&I payment; the APR includes fees and is mostly useful for comparing two loan offers, not for monthly-payment math.

Mortgage payment questions, answered

References & official guidance

Mortgages: Loan Estimate explainer — U.S. Consumer Financial Protection Bureau
Private Mortgage Insurance (PMI) overview — U.S. Consumer Financial Protection Bureau
Homeowner Affordability and Stability — calculator guidance — U.S. Department of Housing and Urban Development

About this calculator

How the PITI payment is calculated

Estimating your payment step by step

Sample payment scenarios

First-time buyer, 10% down

15-year vs 30-year, same loan

Higher rate, same monthly target

When to reach for this calculator

Mistakes that throw off a payment estimate

Mortgage payment questions, answered

What is included in a monthly mortgage payment?

How much should I put down on a house?

What is an amortization schedule?

Is a 15-year or 30-year mortgage better?

How is PMI calculated?

References & official guidance

Related mortgage tools

Mortgage Refinance Calculator

Rent vs Buy Calculator

Home Affordability Calculator

Closing Costs Calculator

Home Equity Calculator

Down Payment Calculator

Inputs

Results

Amortization Schedule

About this calculator

How the PITI payment is calculated

Estimating your payment step by step

Sample payment scenarios

First-time buyer, 10% down

15-year vs 30-year, same loan

Higher rate, same monthly target

When to reach for this calculator

Mistakes that throw off a payment estimate

Mortgage payment questions, answered

What is included in a monthly mortgage payment?

How much should I put down on a house?

What is an amortization schedule?

Is a 15-year or 30-year mortgage better?

How is PMI calculated?

References & official guidance

Related mortgage tools

Mortgage Refinance Calculator

Rent vs Buy Calculator

Home Affordability Calculator

Closing Costs Calculator

Home Equity Calculator

Down Payment Calculator

Inputs

Results

Amortization Schedule