Mortgage Calculator: Find Your Monthly Payment
With our mortgage calculator, you can easily determine your monthly mortgage payment.
Determining your monthly mortgage payment is essential, as it’s usually the largest recurring expense you’ll have to budget for. With the help of our mortgage calculator, you’ll be able to easily estimate how much your monthly mortgage payment will be.
With the calculator, you’ll be able to view your mortgage payment for a variety of scenarios — different home prices, down payment amounts, terms and mortgage rates. Also try our new tools, in partnership with Bankrate, to compare mortgage rates available today.
How to use the mortgage calculator
Understandably, you may be struggling with determining just how much you’ll owe on your mortgage, as the mortgage payment calculation looks like this: M = P [ i(1 + i)^n ] / [ (1 + i)^n – 1]. However, with our mortgage calculator, you can forego all the complicated calculations and simply enter in a few pieces of information.
Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
First, you'll enter in the overall price of your home, if you’re buying, or the current value of your home if you’re refinancing. You’ll also include either the down payment (the cash you plan on paying upfront towards the home) or the amount of equity you have (the value of the home, minus what you owe on it).
After this, you’ll enter in the term length of your loan. If refinancing, enter how many years are remaining in your current loan. Typically, most mortgages are 30-year mortgages, but you can choose between several term lengths to decide which loan term is right for you. You can then compare how different interest rates will affect your monthly payment. Entering in your annual household income and credit score will show you how much you'll be able to reasonably afford.
Using the mortgage calculator can also help you determine how much to put down on your home. While it's recommended to put down 20% to get the best rates, it's not necessary, and you can play with this number to see how it affects your mortgage rate.
Saving on your mortgage rate
Lenders consider many factors when determining the interest rate on your mortgage, including down payment, loan term and the price of the property. The biggest factor they take into consideration, however, is your credit score. Boosting your credit score could potentially save you thousands of dollars on your home mortgage. The chart below, from MyFICO, shows how much you can expect to pay depending on where your credit score stands, based on a 30-year fixed mortgage of $350,000.
FICO Score | APR | Monthly Payment | Total Interest Paid |
---|---|---|---|
760-850 | 6.941 % | $2,315 | $483,294 |
700-759 | 7.163 % | $2,367 | $502,119 |
680-699 | 7.34 % | $2,409 | $517,247 |
660-679 | 7.554 % | $2,460 | $535,674 |
640-659 | 7.984 % | $2,564 | $573,138 |
620-639 | 8.53 % | $2,699 | $621,511 |
Here are a few other tips that can help you get a low mortgage rate.
- Increase your down payment: The higher your down payment, the less principal and less interest you'll have to pay over the life of the loan. You'll likely need a 20% down payment to get the best rates.
- Shop around: Because different lenders offer different rates, it's important to get at least three quotes when shopping for a mortgage in order to take advantage of the lowest rates.
- Consider an adjustable-rate mortgage (ARM): An ARM could be a good option for you, especially if you plan on selling your home sometime in the future. These mortgages offer fixed interest rates that are often lower than those for traditional mortgages for a set number of years. With this tool, you can see how much your monthly payments will be during the fixed period of an ARM, as well as when the introductory period expires. Once the fixed period is over, your mortgage rate can go up or down based on the market.
Related Content
Erin pairs personal experience with research and is passionate about sharing personal finance advice with others. Previously, she was a freelancer focusing on the credit card side of finance, but has branched out since then to cover other aspects of personal finance. Erin is well-versed in traditional media with reporting, interviewing and research, as well as using graphic design and video and audio storytelling to share with her readers.
-
Worst States for Investors With Long-Term Capital Gains
Capital Gains Tax The worst states for investors have high long-term capital gains tax rates that could eat a chunk of your earnings.
By Katelyn Washington Published
-
Meta Stock Slides as AI Spending Ramps Up: What To Know
Meta stock is falling after the Facebook parent increased spending on artificial intelligence and the metaverse.
By Joey Solitro Published
-
How Retirees Can Downsize In Today's Housing Market
Rising prices, higher interest rates and a tight supply of smaller homes present challenges. But retirees have an edge.
By Sandra Block Published
-
Five Housing Markets On the Rise
Study shows homes in five markets are going under contract in less than two weeks, despite a broader national housing market slowdown. Which cities are bucking the trend and why?
By Seychelle Thomas Published
-
House Hacking: Make Money Off Your Home
House hacking involves renting out a part of your residence to create passive income. Here's how it works.
By Jacob Wolinsky Published
-
Steep Mortgage Rates Stunt Home Buying Power
The high-rate environment of today’s housing market leaves potential homebuyers with less purchasing power than last year, study shows.
By Seychelle Thomas Published
-
Monthly Housing Payments Hit All-Time High, Study Shows
Monthly housing payments hit an all-time high in September, a report from Redfin shows, reflecting the multi-decade high for mortgage rates and continued rise in home prices.
By Seychelle Thomas Published
-
When Renting Is Smarter Than Buying
real estate There are some situations when renting is smarter than buying. You're not necessarily throwing your money away when you rent.
By Miriam Cross Published
-
Find the Best 30-Year Mortgage Rates
30-year mortgage rates — check out the best here.
By Erin Bendig Last updated
-
Best Time of Year to Buy A House
You may find a good home deal at any time of year, but certain seasons or even months have the perfect blend of inventory, supply and price. Here's when to look.
By Donna LeValley Last updated