Mortgage Calculator - Free House Payment Estimate | Zillow (2024)

This browser is no longer supported. Please switch to a supported browser or download one of our Mobile Apps.

See Mobile Apps

Skip main navigation

Use Zillow’s home loan calculator to quickly estimate your total mortgage payment including principal and interest, plus estimates for PMI, property taxes, home insurance and HOA fees. Enter the price of a home and down payment amount to calculate your estimated mortgage payment with an itemized breakdown and schedule. Adjust the loan details to fit your scenario more accurately.

Get a more accurate estimate

Get pre-qualified by a lender to see an even more accurate estimate of your monthly mortgage payment.

Explore more mortgage calculators

  • Affordability calculator

    How much house can you afford? Use our affordability calculator to estimate what you can comfortably spend on your new home.

  • Refinance calculator

    Interested in refinancing your existing mortgage? Use our refinance calculator to see if refinancing makes sense for you.

  • Debt-to-income calculator

    Your debt-to-income ratio helps determine if you would qualify for a mortgage. Use our DTI calculator to see if you're in the right range.

  • VA mortgage calculator

    Use our VA home loan calculator to estimate payments for a VA loan for qualifying veterans, active military, and military families.

Participating lenders may pay Zillow Group Marketplace, Inc. ("ZGMI") a fee to receive consumer contact information, like yours. ZGMI does not recommend or endorse any lender. We display lenders based on their location, customer reviews, and other data supplied by users. For more information on our advertising practices, see our . ZGMI is a licensed mortgage broker, NMLS #1303160. A list of state licenses and disclosures is available here.

How to calculate mortgage payments

Zillow's mortgage calculator gives you the opportunity to customize your mortgage details while making assumptions for fields you may not know quite yet. These autofill elements make the home loan calculator easy to use and can be updated at any point.

Remember, your monthly house payment includes more than just repaying the amount you borrowed to purchase the home. The "principal" is the amount you borrowed and have to pay back (the loan itself), and the interest is the amount the lender charges for lending you the money.

For most borrowers, the total monthly payment sent to your mortgage lender includes other costs, such as homeowner's insurance and taxes. If you have an escrow account, you pay a set amount toward these additional expenses as part of your monthly mortgage payment, which also includes your principal and interest. Your mortgage lender typically holds the money in the escrow account until those insurance and tax bills are due, and then pays them on your behalf. If your loan requires other types of insurance like private mortgage insurance (PMI) or homeowner's association dues (HOA), these premiums may also be included in your total mortgage payment.

Home price

The price is either the amount you paid for a home or the amount you may pay for a future home purchase.

Down payment

Most home loans require at least 3% of the price of the home as a down payment. Some loans, like VA loans and some USDA loans allow zero down. Although it's a myth that a 20% down payment is required to obtain a loan, keep in mind that the higher your down payment, the lower your monthly payment. A 20% down payment also allows you to avoid paying private mortgage insurance on your loan. You can use Zillow's down payment assistance page and questionnaire tool to surface assistance funds and programs you may qualify for.

Loan program

Your loan program can affect your interest rate and total monthly payments. Choose from 30-year fixed, 15-year fixed, and 5-year ARM loan scenarios in the calculator to see examples of how different loan terms mean different monthly payments. Learn more about loan types below.

Interest rate

Mortgage interest is the cost you pay your lender each year to borrow their money, expressed as a percentage rate. The calculator auto-populates the current average interest rate.

PMI

Private Mortgage Insurance (PMI) is calculated based on your credit score and amount of down payment. If your loan amount is greater than 80% of the home purchase price, lenders require insurance on their investment. This is a monthly cost that increases your mortgage payment.

Property taxes

Your estimated annual property tax is based on the home purchase price. The total is divided by 12 months and applied to each monthly mortgage payment. If you know the specific amount of taxes, add as an annual total.

Home insurance

Homeowner's insurance is based on the home price, and is expressed as an annual premium. The calculator divides that total by 12 months to adjust your monthly mortgage payment. Average annual premiums usually cost less than 1% of the home price and protect your liability as the property owner and insure against hazards, loss, etc.

HOA dues

Homeowners in some developments and townhome or condominium communities pay monthly Homeowner's Association (HOA) fees to collectively pay for amenities, maintenance and some insurance. Update to include your monthly HOA costs, if applicable. If there are no HOA costs, you can leave the field blank.

Mortgage payment equation

Principal + Interest + Mortgage Insurance (if applicable) + Escrow (if applicable) = Total monthly payment

The traditional monthly mortgage payment calculation includes:

Principal: The amount of money you borrowed.

Interest: The cost of the loan.

Mortgage insurance: The mandatory insurance to protect your lender's investment of 80% or more of the home's value.

Escrow: The monthly cost of property taxes, HOA dues and homeowner's insurance.

Payments: Multiply the years of your loan by 12 months to calculate the total number of payments. A 30-year term is 360 payments (30 years x 12 months = 360 payments).

Type of home loans to consider

The loan type you select affects your monthly mortgage payment. Explore mortgage options to fit your purchasing scenario and save money.

Conventional loan (conforming loan)

Conventional loans are backed by private lenders, like a bank, rather than the federal government and often have strict requirements around credit score and debt-to-income ratios. If you have excellent credit with a 20% down payment, a conventional loan may be a great option, as it usually offers lower interest rates without private mortgage insurance (PMI). You can still obtain a conventional loan with less than a 20% down payment, but PMI will be required.

FHA loan (government loan)

An FHA loan is government-backed, insured by the Federal Housing Administration. FHA loans have looser requirements around credit scores and allow for low down payments. An FHA loan will come with mandatory mortgage insurance for the life of the loan.

VA loan (government loan)

VA loans are partially backed by the Department of Veterans Affairs, allowing eligible veterans to purchase homes with zero down payment (in most cases) at competitive rates. You won't pay PMI, but VA loans do require a funding fee.

USDA loan (government loan)

The United States Department of Agriculture backs USDA loans that benefit low-income borrowers purchasing in eligible, rural areas. Credit requirements are loose on USDA loans. While an upfront funding fee is required on these loans, your down payment can be as little as zero down without paying PMI.

Jumbo mortgages (non-conforming)

Jumbo loans are named based on the size of the loan. When a loan exceeds a certain amount (the conforming loan limit), it's not insured by the Federal government. Loan limits change annually and are specific to the local market. Jumbo loans allow you to purchase more expensive properties but often require 20% down, which can cost more than $100,000 at closing. Rates are competitive.

Mortgage options and terminology

In addition to mortgages options (loan types), consider some of these program differences and mortgage terminology.

Loan term

A mortgage loan term is the maximum length of time you have to repay the loan. Common mortgage terms are 30-year or 15-year. Longer terms usually have higher rates but lower monthly payments. Shorter terms help pay off loans quickly, saving on interest. It is possible to pay down your loan faster than the set term by making additional monthly payments toward your principal loan balance.

Fixed rate vs adjustable rate

A fixed rate is when your interest rate remains the same for your entire loan term. An adjustable rate stays the same for a predetermined length of time and then resets to a new interest rate on scheduled intervals. A 5-year ARM, for instance, offers a fixed interest rate for 5 years and then adjusts each year for the remaining length of the loan. Typically the first fixed period offers a low rate, making it beneficial if you plan to refinance or move before the first rate adjustment.

Conforming loans vs non-conforming loans

Conforming loans have maximum loan amounts that are set by the government and conform to other rules set by Fannie Mae or Freddie Mac, the companies that provide backing for conforming loans. A non-conforming loan is less standardized with eligibility and pricing varying widely by lender. Non-conforming loans are not limited to the size limit of conforming loans, like a jumbo loan, or the guidelines like government-backed loans, although lenders will have their own criteria.

Start your home buying research with a mortgage calculator

A mortgage payment calculator is a powerful real estate tool that can help you do more than just estimate your monthly payments. Here are some additional ways to use our mortgage calculator:

  • 1

    Assess down payment scenarios

    Adjust your down payment size to see how much it affects your monthly payment. For instance, would it be better to have more in savings after purchasing the home? Can you avoid PMI? Compare realistic monthly payments, beyond just principal and interest.

  • 2

    Calculate mortgage rates

    Modify the interest rate to evaluate the impact of seemingly minor rate changes. Knowing that rates can change daily, consider the impact of waiting to improve your credit score in exchange for possibly qualifying for a lower interest rate. Click the "Schedule" for an interactive graph showing the estimated timeframe of paying off your interest, similar to our amortization calculator.

  • 3

    Evaluate affordability

    Fine-tune your inputs to assess your readiness. Use our affordability calculator to dig deeper into income, debts and payments.

  • 4

    Sample loan programs

    Adjust the loan program to see how each changes monthly mortgage payments

Frequently asked questions about mortgages

Related Articles

  • What is Private Mortgage Insurance (PMI)?

    Questions about the PMI in the mortgage calculator? Find out why PMI may be required for your loan and see how you can avoid paying it.

  • Down Payments: How Much Do You Need to Save?

    Wondering what down payment amount to enter into the mortgage payment calculator? Here’s a look at what the ideal down payment is.

  • Complete Guide to FHA Loans

    Considering an FHA loan for your new home? Read about FHA loans and find out why they’re a popular option for first time homebuyers.

Mortgage Calculator - Free House Payment Estimate | Zillow (2024)

FAQs

How to easily calculate mortgage payment? ›

For example, if your interest rate is 6 percent, you would divide 0.06 by 12 to get a monthly rate of 0.005. You would then multiply this number by the amount of your loan to calculate your loan payment. If your loan amount is $100,000, you would multiply $100,000 by 0.005 for a monthly payment of $500.

How do you estimate if you can afford a house? ›

Home Affordability Calculator

You should aim to keep housing expenses below 28% of your monthly gross income. If you have additional debts, your housing expenses and those debts should not exceed 36% of your monthly gross income.

How much house for $3,500 a month? ›

A $3,500 per month mortgage in the United States, based on our calculations, will put you in an above-average price range in many cities, or let you at least get a foot in the door in high cost of living areas. That price point is $550,000.

How much house for $6,000 a month? ›

How Much House Can You Afford?
Monthly Pre-Tax IncomeRemaining Income After Average Monthly Debt PaymentEstimated Home Value
$4,000$3,400$138,000
$5,000$4,400$197,000
$6,000$5,400$256,000
$7,000$6,400$313,000
4 more rows

What is the rule of thumb for estimating mortgage payments? ›

The 28% rule

To determine how much you can afford using this rule, multiply your monthly gross income by 28%. For example, if you make $10,000 every month, multiply $10,000 by 0.28 to get $2,800. Using these figures, your monthly mortgage payment should be no more than $2,800.

What is the payment formula? ›

Monthly Payment = (P × r) ∕ n

Again, “P” represents your principal amount, and “r” is your APR. However, “n” in this equation is the number of payments you'll make over a year. Now for an example. Let's say you get an interest-only personal loan for $10,000 with an APR of 3.5% and a 60-month repayment term.

How much house can I afford if I make $36,000 a year? ›

On a salary of $36,000 per year, you can afford a house priced around $100,000-$110,000 with a monthly payment of just over $1,000. This assumes you have no other debts you're paying off, but also that you haven't been able to save much for a down payment.

Can I afford a 300k house on a 50k salary? ›

A person who makes $50,000 a year might be able to afford a house worth anywhere from $180,000 to nearly $300,000. That's because your annual salary isn't the only variable that determines your home buying budget. You also have to consider your credit score, current debts, mortgage rates, and many other factors.

What is the 28/36 rule? ›

According to the 28/36 rule, you should spend no more than 28% of your gross monthly income on housing and no more than 36% on all debts. Housing costs can include: Your monthly mortgage payment. Homeowners Insurance. Private mortgage insurance.

What house can I afford with 5000 a month? ›

In concrete numbers, the 28/36 rule means that a borrower who makes $5,000 a month should not spend more than $1,400 on housing costs every month. If you're a renter making $5,000 a month, it's a good rule of thumb to spend a maximum of $1,400 on rent.

How much house can I afford if I make $70,000 a year? ›

The home price you can afford depends on your specific financial situation—your down payment, existing debts, and mortgage rate all play a role. Most experts recommend spending 25% to 36% of your gross monthly income on housing. For a $70,000 salary, that's a mortgage payment between roughly $1,450 and $2,100.

How much mortgage for $2000 a month? ›

With $2,000 per month to spend on your mortgage payment, you are likely to qualify for a home with a purchase price between $250,000 to $300,000, said Matt Ward, a real estate agent in Nashville. Ward also points out that other financial factors will impact your home purchase budget.

What is the formula for mortgage monthly payments in Excel? ›

The formula for calculating mortgage payments is PMT(interest rate/12, number of payments, loan amount). For example, if you're taking out a 10-year loan with a 6% interest rate for $200,000, the Excel formula would be: PMT(. 06/12, 120, 200000). This formula will give you a monthly payment amount of $1,788.76.

How to calculate monthly loan payment? ›

The formula is: M = P [ i(1 + i)^n ] / [ (1 + i)^n – 1], where M is the monthly payment, P is the loan amount, i is the interest rate (divided by 12) and n is the number of monthly payments.

What happens if I pay two extra mortgage payments a year? ›

By making two extra mortgage payments a year, you're prepaying principal that would otherwise accrue interest over the life of the loan. Plus, those payments are accelerating repayment because they're payments you would have made anyway.

Top Articles
Latest Posts
Article information

Author: Greg O'Connell

Last Updated:

Views: 5680

Rating: 4.1 / 5 (42 voted)

Reviews: 89% of readers found this page helpful

Author information

Name: Greg O'Connell

Birthday: 1992-01-10

Address: Suite 517 2436 Jefferey Pass, Shanitaside, UT 27519

Phone: +2614651609714

Job: Education Developer

Hobby: Cooking, Gambling, Pottery, Shooting, Baseball, Singing, Snowboarding

Introduction: My name is Greg O'Connell, I am a delightful, colorful, talented, kind, lively, modern, tender person who loves writing and wants to share my knowledge and understanding with you.