How to Use the Mortgage Calculator
The mortgage calculator on CalcAndGo estimates your total monthly housing payment, not just principal and interest. Here's what each field means and how it affects your result.
Home Price and Down Payment
Enter the full purchase price of the home, then your planned down payment. The calculator subtracts the down payment from the home price to determine your loan amount. A larger down payment reduces both your loan amount and your monthly principal and interest.
Interest Rate and Loan Term
Enter the annual interest rate offered by your lender and the length of the loan in years (typically 15 or 30 for most mortgages). These two numbers, combined with your loan amount, determine your principal and interest payment using the standard amortization formula.
Property Tax Estimates by State
If you're not sure what property taxes will look like, select your state from the dropdown. The calculator will fill in an estimated annual property tax based on that state's average effective tax rate. This is a starting point only - actual property tax rates vary significantly by county, city, and school district. For an exact figure, check the listing details or your county assessor's website, then enter that number directly to override the estimate.
Home Insurance, PMI, and HOA Fees
Home insurance and PMI (private mortgage insurance) are entered as annual amounts and are divided by 12 to get the monthly cost. PMI typically applies when your down payment is less than 20% of the home price; if you don't know your PMI cost yet, you can leave it at 0 for a rough estimate without it. HOA fees are entered as a monthly amount directly, since they're usually billed monthly or quarterly rather than annually.
Reading the Results
The result breaks your total monthly payment into its components: principal and interest, property tax, home insurance, PMI, and HOA fees. It also shows your total interest paid over the life of the loan, which can be a useful number when comparing different loan terms - a 15-year loan has higher monthly payments but dramatically less total interest than a 30-year loan at the same rate.
A Note on Accuracy
This calculator provides estimates for planning purposes. Actual lender quotes may include additional fees, different rounding, or rate adjustments based on your credit profile. Use these numbers to compare scenarios and set expectations, not as a substitute for a formal loan estimate from a lender.