The True Cost of a Mortgage

When purchasing a home, it's easy to get fixated solely on the purchase price and the monthly payment. However, the most critical number for your long-term wealth is the Total Interest Paid.

Understanding Amortization

Mortgages are structured using an amortization schedule. In the early years of a 30-year mortgage, a massive percentage of your monthly payment goes entirely toward paying interest to the bank, while only a small fraction goes toward paying down your actual loan principal.

How Our Calculator Helps

Our Mortgage Calculator instantly visualizes the true cost of borrowing money. By adjusting the interest rate or reducing the term length (e.g., from 30 years to 15 years), you can instantly see how much money you save in interest over the life of the loan.

Like all our tools, this calculation is performed 100% locally in your browser. We don't save your financial data, ask for your email, or show you targeted loan advertisements.