A US monthly mortgage payment combines four core components — principal, interest, property tax, and homeowners insurance — known as PITI, plus PMI when the down payment is under 20% and any HOA dues. This calculator computes every line item from the home price, down payment, interest rate, loan term, and your state's property tax rate.
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Property tax, insurance, HOA
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Auto-applied when down payment < 20%. Typical 0.3–1.5%.
How your payments split over the life of the loan. Early years are mostly interest.
Principal paidInterest paid
PITI breakdown
Principal & interest
$0
Property tax
$0
Home insurance
$0
PMI
$0
HOA
$0
Total monthly
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How the mortgage calculator works
Enter your home price, down payment, interest rate, and loan term —
the calculator returns your full monthly housing cost,
not just the loan principal and interest. It pulls the property tax
rate from the state you choose, factors in homeowners insurance,
automatically adds PMI if your down payment is below 20%, and
includes any HOA dues you enter.
The "Total paid" figure is what you'll have spent on the loan by the
end of the term. For a $320,000 loan at 6.75% over 30 years, total
interest paid is about $427,000 — meaning you'll pay
almost 2.3× the principal over the life of the loan if you make no
extra payments.
The 4 + 1 components of your monthly payment
Principal — the portion of each payment that
reduces your loan balance. In year 1 of a 30-year loan, this is
a small fraction (~25%) of your monthly payment. By year 25, it's
the majority.
Interest — the cost of borrowing the money.
Mortgages are front-loaded with interest — early payments
are mostly interest, late payments are mostly principal.
Property tax — paid to your county or
municipality, typically held in escrow by your lender and
paid in two installments per year. Varies from 0.3% to 2.5%+ of
home value annually depending on state.
Insurance — homeowners insurance protects the
structure and your liability. Often bundled with the mortgage
payment via escrow. Typical cost: 0.3–0.6% of home value per year.
PMI (if applicable) — private mortgage insurance
is required when your down payment is below 20% of the purchase
price on a conventional loan. Typically 0.3–1.5% of the loan
amount per year. Removable once LTV ≤ 80%.
Plus, if applicable: HOA dues (for condos, gated communities, or
planned developments) — anywhere from $50 to $1,000+ per month.
15-year vs 30-year: trade-offs
A $400,000 home with 20% down ($320,000 loan) at 6.75%:
30-year
15-year
Monthly P&I
$2,076
$2,831
Total interest paid
$427,239
$189,649
Total paid (P+I)
$747,239
$509,649
Interest savings (15-yr)
$237,590
The 15-year saves $237,590 in interest — but the monthly cost is
$755 higher. Many financial advisors recommend taking the 30-year
and making extra principal payments when you can — you get the
flexibility of the lower minimum payment plus most of the interest
savings if you stay disciplined.
How to use this calculator effectively
Start with the home price you're considering.
Enter the down payment in dollars or percentage — they sync automatically.
Use a current quote for the interest rate. Check today's rates from at least 3 lenders.
Pick the loan term — most US buyers choose 30 years.
Expand "Property tax, insurance, HOA" to pick your state (auto-populates the property tax rate) and refine the insurance and HOA estimates.
The result updates as you type — try increasing the down payment to see how much PMI saves you.
A full mortgage payment is called PITI: Principal, Interest, Taxes (property tax), and Insurance. If you put less than 20% down, you also pay PMI (private mortgage insurance). If your home is in a community with shared amenities, you add HOA dues on top. This calculator shows each line item separately.
How is the monthly principal and interest payment calculated?
The standard mortgage formula is: M = P · r · (1 + r)n / ((1 + r)n − 1), where P is the loan amount, r is the monthly interest rate (annual ÷ 12), and n is the number of monthly payments (years × 12). For a $320,000 loan at 6.75% over 30 years, M = $2,075.91 monthly principal + interest.
When is PMI required and when can I drop it?
PMI (private mortgage insurance) is required on conventional loans when your down payment is less than 20% of the home price. You can request PMI removal once your loan-to-value (LTV) reaches 80%, and lenders are required to automatically cancel it at 78% LTV. FHA loans have similar MIP that mostly cannot be removed without refinancing.
Should I get a 15-year or 30-year mortgage?
A 15-year mortgage has a higher monthly payment but a much lower total interest cost — typically 60% less total interest than 30-year. A 30-year has lower monthly payments and more flexibility (you can always pay extra, but you can't reduce a required payment). Most US buyers choose 30-year for the cash-flow buffer.
How much should I budget for property tax and insurance?
Property tax varies wildly by state: from 0.27% in Hawaii to 2.47% in New Jersey of home value annually. Homeowners insurance averages 0.3–0.5% of home value per year. Use our Property Tax Calculator for a state-specific estimate.
What is a good interest rate today?
Mortgage rates change daily and depend on your credit score, down payment, loan size, and lender. As of mid-2026, 30-year fixed rates have been hovering in the 6.5–7.5% range. Always shop at least 3–5 lenders — a 0.25% rate difference is roughly $50/month on a $400k loan ($18,000 over 30 years).
Is the mortgage interest deductible on my taxes?
Yes, but only if you itemize federal deductions instead of taking the standard deduction. After OBBBA expanded the standard deduction to $32,200 (MFJ 2026), most middle-income owners don't itemize anymore — the mortgage-interest deduction only helps if your itemized total exceeds the standard deduction. Property tax is capped at $10,000 (SALT cap) per the TCJA.
How can I lower my monthly mortgage payment?
Five levers: (1) larger down payment (lower principal + avoids PMI); (2) longer term (30-year vs 15-year); (3) lower rate (shop lenders, improve credit, pay discount points); (4) lower-tax state (huge swing — see the state column); (5) refinance when rates drop.