Mortgage Calculator with PMI

Calculate your monthly mortgage payments including PMI, taxes, and insurance.

Calculator

Results

Total Monthly Payment

$1552.71

Mortgage Payment

$1077.71

Property Tax

$375.00

Home Insurance

$100.00

PMI

$0.00

Loan Amount

$240000.00

Down Payment

20.00%

How It Works

The Mortgage Calculator with PMI helps you estimate your monthly mortgage payments, including principal, interest, taxes, insurance, and private mortgage insurance (PMI). Here's how it works:

  1. Calculate the loan amount: Home Price - Down Payment
  2. Calculate the monthly mortgage payment using the formula:
    P = L[c(1 + c)^n]/[(1 + c)^n - 1]
    Where:
    • P = Monthly payment
    • L = Loan amount
    • c = Monthly interest rate (annual rate divided by 12 and expressed as a decimal)
    • n = Total number of monthly payments (years * 12)
  3. Calculate monthly property tax: (Home Price * Annual Property Tax Rate) / 12
  4. Calculate monthly home insurance: Annual Home Insurance / 12
  5. Calculate PMI:
    • If down payment is less than 20% of home price:
    • For percentage-based PMI: (Loan Amount * Annual PMI Rate) / 12
    • For fixed PMI: Use the specified monthly amount
  6. Sum up all monthly costs for the total monthly payment

The calculator also generates a chart showing how your loan balance decreases and home equity increases over time.

How to Use

  1. Enter the home price you're considering.
  2. Input your planned down payment amount.
  3. Set the annual interest rate for your mortgage.
  4. Choose the loan term (15, 20, or 30 years).
  5. Select whether you want to calculate PMI as a percentage or a fixed amount.
  6. Enter the PMI rate or fixed amount, depending on your selection.
  7. Input the annual property tax rate for your area.
  8. Specify your estimated annual home insurance cost.
  9. Review the calculated monthly payments and the loan amortization chart.
  10. Adjust any inputs to see how they affect your monthly payments and long-term costs.

Frequently Asked Questions

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