Mortgage Calculator: Calculate Annual Rates & Monthly Payments

With Lendstart’s mortgage loan calculator, you can get an idea of how much your mortgage will cost when all’s said and done. Plus, you can play around with the numbers until you find what works for you and your budget.

Mortgage Calculator

Home price


Down payment



Length of loan

Interest rate


Homeowner's insurance


Property tax


HOA fees



monthly payment


How to Use a Mortgage Loan Calculator

You can use a mortgage loan calculator to determine how much the loan will cost each month and in total. This will help you prepare for payments without having to commit to a loan you can’t afford.

The best mortgage loan calculators will include at least the following factors:

  • Loan amount
  • Loan terms in months or years
  • Annual interest rate (fixed or variable)
  • Down payment (percentage)

Some mortgage calculators also include optional information like:

  • Private homeowners insurance
  • Homeowner’s association fees (HOA)
  • Property taxes

By providing as much information as you can, you can estimate – and realistically budget – the mortgage into your life.

Mortgage Payment Formula

The basic formula used in calculating an equated monthly installment (EMI) or mortgage payment is as follows:

  • P = Home Price – Down payment
  • Fixed Monthly Payment = P x [R x (1+R)^N]/[(1+R^N)-1]

Here’s how these variables break down:

  • P = Principal amount. This is the original amount you borrow from a lender before interest.
  • R = Yearly interest rate. This is how much you’ll need to pay in interest each year. If the interest rate is 4.00%, divide it by 12 months to determine the monthly rate. In this case, it would be 0.04/12 or 0.003333.
  • N = Number of payments you’ll make over the life of the mortgage loan. Most lenders offer either 15-year fixed rate or 30-year fixed-rate loans. To calculate the total number of payments, multiply the number of years by the number of months in a year. For example, a 15-year fixed-rate loan has 180 total payments (15 years x 12 months). A 30-year fixed-rate loan has 360 payments (30 years x 12 months).

Mortgage Loan Examples

Example A Example B Example C
Principal Amount $200,000 $300,000 $400,000
Yearly Interest 4.00% 4.00% 4.00%
Number of Payments (30-year loan) 360 360 360
Estimated Monthly Payment $954 $1,432 $1,909
Total Payment + Interest $344,016.44 $515,690.55 $687,698.97


Some mortgage loan calculators also give you an amortization schedule, which lets you see how much of your monthly payments go toward the principal versus the interest. It also gives you an overview of your estimated remaining balance each month.
*Note: Payments are estimates only. The exact numbers will depend on things like HOA fees, property taxes, homeowner’s insurance, credit score, and zip code.

Why Use a Mortgage Loan Calculator

Using a mortgage loan calculator can help you determine the following:

  • The best loan length for you. A 30-year fixed rate mortgage has a much longer term than a 15-year loan. This means you’ll pay more in total interest, but your monthly payments will be lower. If you want to decrease how much you spend in interest, increase your monthly payment.
  • Estimated monthly payment. With a mortgage loan calculator, you can budget how much you’ll be spending each month. This, in turn, can help ensure you don’t end up strapped for cash when other bills come up.
  • Where your money’s going. A calculator will give you a good idea of how much money you could be spending on the principal amount, interest, property taxes, HOA fees, and more.
  • The recommended down payment. While a 20% down payment is standard, it’s not right for everyone. That said, a higher down payment usually means saving more money in interest payments. Make sure it fits into your budget and long-term plans, though.
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