Use our user-friendly Basic Mortgage Payment Calculator to quickly determine your estimated monthly principal and interest payment. Perfect for budgeting and understanding your potential housing costs before you buy a home or refinance. Get instant results!
Formula:
The basic mortgage payment (principal & interest) is calculated using the formula:
M = P [ i(1 + i)n ] / [ (1 + i)n – 1]
- M = Monthly Payment
- P = Principal Loan Amount (the total amount borrowed)
- i = Monthly Interest Rate (annual rate divided by 12 and by 100 to convert to decimal)
- n = Total Number of Payments (loan term in years multiplied by 12)
This calculator helps you understand the principal and interest portion of your monthly mortgage payment.