How it works
- Loan amount = home price − down payment.
- Principal & interest uses the standard amortization formula: M = P × r × (1 + r)ⁿ ÷ ((1 + r)ⁿ − 1), with r the monthly rate and n the number of months.
- Monthly total = principal & interest + yearly property tax ÷ 12 + yearly insurance ÷ 12 + monthly HOA.
Frequently asked questions
How much should my down payment be?
20% is a common target because it often avoids private mortgage insurance (PMI), but many loans allow far less. A larger down payment reduces both your monthly payment and total interest.
Is PMI included?
Not automatically. If your lender requires PMI, add its monthly cost to the HOA/other field to include it in the total.
Should I choose 15 or 30 years?
A 15-year mortgage has higher monthly payments but much lower total interest. A 30-year term is more affordable monthly but costs more overall.
Results are estimates for general information and are not financial, medical or professional advice.