Free Mortgage Calculator – Monthly Payment, Interest & Amortization

A Our mortgage calculator makes this easy. Simply input your loan amount, interest rate, and then run a calculation for a 20-year term. Note the "total interest" figure. Then, adjust the loan term to 30 years and recalculate. You'll instantly see how significantly a shorter term reduces your total interest burden and speeds up equity growth. The amortization schedule will show the monthly breakdown for both.

A This calculator focuses on your loan's principal and interest, not closing costs. However, you can use it to get a ballpark figure for your monthly payments, which helps you budget for those upfront expenses. Typically, closing costs can range from 2% to 5% of the loan amount. For example, on a $300,000 loan, that's $6,000 to $15,000. You'll get a more precise breakdown from your lender.

A Fixed payment keeps your monthly amount the same for the entire loan term. Declining balance adjusts payments as the principal shrinks, starting higher and dropping over time. Try both in our calculator by toggling the method switch. On a $250,000 loan at 6% for 30 years, fixed payment stays around $1,499 monthly. The declining method might start near $1,800 but fall to $700 by year 20. This comparison helps if you expect income changes later.

A That's how amortization works. Banks front-load interest payments. In year one of a $300,000 loan at 6%, roughly $1,500 goes to interest and only $500 to principal each month. Over time, that ratio flips. By year 20, you're paying mostly principal. Our schedule shows this shift month by month. Try adding $100 extra to principal monthly. You'll see the balance tip faster.

A Yes, just enter your loan details and then add a monthly extra payment amount in the field marked 'additional principal.' On a $250,000 loan at 6% for 30 years, paying an extra $100 each month cuts the term by about 5 years and saves roughly $43,000 in interest. The amortization schedule updates instantly to show the new end date. Try different amounts to find what fits your budget.

A Refinancing can lower your rate by even half a percent and save you tens of thousands. Try this: plug your current loan into our calculator, note the total interest. Then run the same loan at a lower rate. On a $300k loan, dropping from 6% to 5.5% saves about $30,000 over 30 years. But watch out for closing costs, usually 2-5% of the loan. If those cost $10,000, calculate your monthly savings and divide. If you break even in 3 years and stay put, you win. Our amortization schedule shows your breakeven month.

A Use the bank's pre-approval as your ceiling, not your target. Our calculator shows raw principal and interest, but lenders include debt-to-income ratios, credit scores, and local tax rates. On a $350,000 loan at 6.5%, our tool might say $2,212 monthly. The bank could approve you for $2,800. Don't stretch that far. A good rule: keep your total housing costs under 28% of gross income. Try backing into that number by adjusting the loan amount downward until the payment fits comfortably.

A Absolutely for the basic math—principal and interest work the same for any loan type. The catch comes with FHA's mandatory mortgage insurance premium (MIP) or VA's funding fee. Our calculator doesn't add those automatically. For an FHA loan at 3.5% down, expect roughly 0.55% of the loan amount added yearly for MIP. VA funding fee runs about 2.3% of the loan for first-time users. Run our numbers, then layer those costs on top. Your lender's final quote will confirm the real total.

A Probably not. For a $300,000 loan at 6.5%, a 30-year fixed gives you roughly $1,896 monthly. But over 5 years, you'd pay about $96,500 in interest and only $8,600 toward principal. A 5/1 ARM might start at 5.5%, saving $180 monthly initially. Use our calculator to compare both scenarios. Check the amortization schedule's year-5 balance. If you're selling before the rate adjusts, an ARM could save thousands.

A That's not a balloon payment—it's the final month's remaining balance. With fixed payment, your last installment often differs slightly because rounding monthly payments leaves a few dollars of principal unamortized. Our calculator adjusts the final line to clear the debt precisely. If you're seeing a much larger number, you might have entered a negative amortization scenario or an interest rate change mid-term. Try resetting to a standard 30-year fixed at 6%, and the schedule will show a clean $0.00 at the end. That final small payment is just math catching up.