# Mortgage Calculator

## Calculator Use

Calculate your monthly mortgage payments on your home based on term of your mortgage, interest rate, and mortgage loan amount. To include annual insurance and taxes in your calculations, use this mortgage calculator with taxes and insurance.

- Mortgage Amount
- the original principal amount of your mortgage when calculating a new mortgage or the current principal owed when calculating a current mortgage
- Mortgage Term
- the original term of your mortgage or the time left when calculating a current mortgage
- Interest Rate
- the annual nominal interest rate or stated rate on the loan. Note that this is the interest rate you are being charged which is different and normally lower than the Annual Percentage Rate (APR).
- Monthly Payment
- the payment amount to be paid on this mortgage on a monthly basis toward principal and interest only. This does not include insurance or taxes or escrow payments. (payment = principal + interest)

### Monthly Payment Calculation

Monthly mortgage payments are calculated using the following formula:

where n = is the term in number of months, PMT = monthly payment, i = monthly interest rate as a decimal (interest rate per year divided by 100 divided by 12), and PV = mortgage amount (present value).