This mortgage calculator creates an amortization schedule that shows you how the principal balance on your fixed rate mortgage changes with each monthly payment. Fixed rate mortgages offer borrowers lower risk in return for a higher initial interest rate than corresponding adjustable rate mortgages. They typically have terms between 10 and 40 years. Longer term fixed rate mortgages feature lower minimum monthly payments than shorter term mortgages in exchange for higher interest rates.
The 30 year fixed mortgage is the most popular type. The 15 year fixed mortgage is also common. To generate amortization schedules for other types of mortgages use the adjustable rate mortgage calculator or the interest only amortization calculator. If you regularly make an extra payment on your mortgage you can pay off your loan early and save a tremendous amount of money.
- Amortization Schedule
- The amortization schedule show you how monthly principal and interest payment and principal balances change over the life of your loan.
- The portion of your mortgage payment that is due to the interest rate being applied to the principal balance. The Total Interest for a mortgage is the sum of all interest paid over the life of a loan.
- Interest Rate
- The percentage of the principal balance of your mortgage that determines how much interest you must pay. The interest rate on your mortgage may change or remain the same depending on the type of loan you have.
- Loan Amount
- The initial principal balance or your mortgage at closing.
- The portion of your mortgage payment that is used to pay down the current balance of your mortgage. The principal balance represents how much you owe on the mortgage.
- The amortization term is one of the key factors that determine your required mortgage payment. Your required mortgage payment for fully amortizing mortgages is the amount that would result in the mortgage being closest to being paid off by the end of the amortization term. Longer amortization terms result in lower required mortgage payments for fully amortizating mortgages, all other things being equal.