What affects your mortgage payment?
Four things: loan size, interest rate, term and the extras (property tax, insurance, HOA, PMI). A larger down payment lowers the loan and removes PMI at 20%. Even a 0.5% rate difference changes the total cost by tens of thousands of dollars over 30 years.
Frequently asked questions
What is PMI?
Private mortgage insurance protects the lender when your down payment is under 20%. The calculator estimates it at 0.6% of the loan per year.
Is a 15-year mortgage better?
The payment is higher but you pay far less interest and own the home sooner. Compare both terms in the calculator.