Free Mortgage Calculator with Amortization Schedule

Use our free mortgage calculator by entering your home price, down payment, interest rate, and loan term. The calculator instantly shows your monthly payment broken down into principal, interest, property taxes, and insurance (PITI). You can also view the full amortization schedule to see how each payment is applied over the life of the loan.

A mortgage payment typically includes four components known as PITI: Principal (the portion that reduces your loan balance), Interest (the cost of borrowing), Property Taxes (assessed by your local government), and Insurance (homeowners insurance protecting your property). Some payments also include Private Mortgage Insurance (PMI) if your down payment is less than 20%.

A common guideline is that your total monthly housing costs should not exceed 28% of your gross monthly income (the 28% rule). For total debt payments including housing, credit cards, and loans, keep under 36% of gross income (the 36% rule). Use our Home Affordability Calculator to determine your specific budget based on income, debts, and down payment.

A 15-year mortgage has higher monthly payments but you pay significantly less interest over the life of the loan and build equity faster. A 30-year mortgage offers lower monthly payments and more cash flow flexibility, but you pay more interest overall. For example, on a $400,000 loan at 7%, a 30-year mortgage costs about $2,661/month while a 15-year costs about $3,595/month, but saves over $250,000 in interest.

A larger down payment reduces your loan amount, which directly lowers your monthly principal and interest payment. It also helps you avoid Private Mortgage Insurance (PMI), which typically costs 0.5% to 1% of the loan amount annually. Putting down 20% or more eliminates PMI, saving you $100-$300+ per month on a typical home purchase.

Private Mortgage Insurance (PMI) protects your lender if you default on the loan. It's typically required when your down payment is less than 20%. PMI costs range from 0.46% to 1.5% of the loan amount annually. You can request PMI removal when your loan-to-value ratio reaches 80%, and lenders must automatically cancel it at 78%.

Extra payments create dramatic savings. On a $400,000 loan at 7% over 30 years, paying an extra $100/month saves approximately $65,000 in interest and cuts about 4.5 years off your loan. Paying an extra $200/month saves about $110,000 and cuts 7.5 years. Bi-weekly payments (26 half-payments per year) save roughly $70,000 and cut 5 years.