Mortgage Calculator
Free mortgage calculator with PITI breakdown, PMI drop-off, HOA, extra payments, and full amortization schedule.
Frequently asked questions
How is a monthly mortgage payment calculated?
The monthly principal-and-interest payment is calculated with the standard amortization formula M = P·r(1+r)^n / ((1+r)^n − 1), where P is the loan amount, r is the monthly interest rate (APR ÷ 12), and n is the total number of monthly payments. Property tax, homeowners insurance, PMI, HOA, and other costs are added on top to produce the full PITI payment.
When does PMI drop off a conventional mortgage?
Private mortgage insurance is automatically removed once the loan balance falls to 78% of the original home value, and borrowers can request removal at 80% LTV. This calculator tracks the loan-to-value ratio month by month and stops charging PMI in the schedule the moment the 80% threshold is reached.
How much do extra mortgage payments actually save?
Extra principal payments shorten the loan term and reduce total interest paid, because every dollar of extra principal permanently reduces the balance on which future interest accrues. On a 30-year loan, even $100 extra per month typically saves tens of thousands of dollars and shaves years off the payoff date — this calculator quantifies the exact savings against a no-extras baseline.
Does this mortgage calculator include property tax and insurance?
Yes. Property taxes, homeowners insurance, PMI, HOA dues, and any other recurring costs can be entered as either a percentage of home value or a fixed dollar amount, and each supports an optional annual increase rate to model realistic escalation over the life of the loan.