Free Mortgage Calculator: Monthly Payment with PITI Breakdown
Calculate your complete monthly mortgage payment including principal, interest, property taxes, home insurance and PMI. Perfect for home buyers, refinancing decisions and budget planning.
A complete mortgage payment includes four core components commonly known as PITI. Understanding each one helps you budget accurately and avoid surprises after closing.
🏦 Principal
The portion of your payment that reduces your loan balance. In early years, this is a small part of each payment.
💸 Interest
The lender's fee for the loan. In early years, most of your payment goes to interest rather than principal.
🏛️ Property Taxes
Annual property taxes divided by 12. Your lender typically collects these monthly into an escrow account.
🛡️ Insurance + PMI
Homeowners insurance is always required. PMI is required if your down payment is less than 20% of the home price.
How Our Mortgage Calculator Works
Our calculator uses the standard mortgage amortization formula to compute your exact principal and interest payment, then adds your monthly taxes, insurance and PMI:
A monthly mortgage payment typically includes four components known as PITI: Principal (loan repayment), Interest (lender fee), Taxes (property taxes) and Insurance (homeowners insurance). If your down payment is less than 20%, you also pay PMI (Private Mortgage Insurance).
How much down payment do I need to avoid PMI?
You need a down payment of at least 20% of the home price to avoid Private Mortgage Insurance. With less than 20% down, PMI typically adds 0.5% to 1.5% of the loan amount per year to your monthly payment, which can be hundreds of dollars.
What is a good mortgage interest rate?
Mortgage rates vary significantly based on economic conditions, your credit score, loan term and down payment. Borrowers with excellent credit (760+) receive the best rates. Always compare offers from at least 3 lenders — your bank, a credit union and an online lender — before deciding.
Should I choose a 15-year or 30-year mortgage?
A 15-year mortgage has higher monthly payments but saves tens of thousands in total interest and builds equity twice as fast. A 30-year mortgage has lower monthly payments but costs significantly more over time. Use our calculator above to compare both options with your exact numbers.
How is a mortgage payment calculated?
The principal and interest portion is calculated using M = P × [r(1+r)^n] / [(1+r)^n − 1], where P is the loan amount, r is the monthly interest rate and n is total payments. Monthly property tax and insurance are then added on top. Our calculator handles all of this automatically.
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