About Mortgage Calculator

This simple calculator only calculates monthly mortgage payment. Remember to include in your housing budget additional expenses such as taxes, homeowner's insurance, flood insurance, HOA fees, etc. Some low downpayment conventional mortgages will require Private Mortgage Insurance also.

Variables are described below.

• Home Value: The selling price of the home.
• Down Payment: The amount the buyer has saved & is willing to invest in the property upfront. The average downpayment is around 10%, though the benchmark is 20% to eliminate the requirement for Private Mortgage Insurance (PMI) requirements.
• Loan Amount: Typically the home value less the downpayment.
• Interest Rate: The annual percentage rate (APR) charged on the loan.
• Loan Term: The amortization period of the loan in years - typically 30 for most US residential loans.
• Property Tax: Annual property tax payment.
• PMI: Private Mortgage Insurance, if required due to down payment being less that 20% of the home's vale. If applicable, cost is typically between 0.5% and 1.3% of the loan amount. 
• Home Owner's Insurance: Annual cost of a homeowners insurance policy. If home is in a flood prone area, you will need to include the cost of flood insurance. Talk to your insurance agent for a quote.
• Monthly HOA: Monthly fees for being part of a homeowners' or condo association.