Financial Calculators
Master your money with precision. Whether you are buying a home or planning long-term investments, our tools provide the clarity you need.
Home Loans
Mortgage Calculator
Monthly Payment
$1,610.46
Savings & Investments
Compound Interest Calculator
Future Value
$2,009.66
How Does a Mortgage Calculation Work?
A mortgage is likely the largest financial commitment you will ever make. To master your finances, you must understand that your monthly payment is primarily determined by three factors: the Principal (the amount borrowed), the Interest Rate, and the Loan Term (the duration of the loan).
The Standard Mortgage Formula
Most fixed-rate mortgages use the following mathematical formula to determine the monthly payment (M):
The Power of Compound Interest
Albert Einstein reportedly called compound interest the "eighth wonder of the world." Unlike simple interest, which is calculated only on the principal amount, compound interest is calculated on the principal plus the accumulated interest from previous periods.
3 Tips to Save Money on Your Mortgage
Increase Down Payment
Lowering your initial loan amount reduces the total interest paid over the life of the loan.
Bi-Weekly Payments
Making half-payments every two weeks results in one extra full payment per year, shaving years off your term.
Improve Credit Score
Even a 0.5% difference in interest rates can save you tens of thousands of dollars.