What is the difference between a fixed rate and adjustable rate mortgage?

A fixed-rate mortgage keeps the same interest rate for the entire loan term (e.g., 30 years), giving predictable monthly payments. An adjustable-rate mortgage (ARM) starts with a fixed rate for an initial period (e.g., 5/1 ARM = fixed for 5 years, then adjusts annually). ARMs often start lower but can increase significantly. In a high-rate environment like 2026, ARMs can be attractive if you plan to sell or refinance before the adjustment period.

How does making extra mortgage payments save money?

Extra mortgage payments go directly toward reducing your principal balance, which reduces the amount of interest you pay over the life of the loan. For example, on a $400,000, 30-year mortgage at 7%, making just $200 extra per month could save you over $80,000 in interest and pay off your mortgage 5 years early. Use our extra payment section in the calculator to see your exact savings.

🏠 30-yr Rate — US avg

🏛️ Fed Rate — target range

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🏡 Free Tool 2026 Live Rates

Free Mortgage Calculator 2026 — Monthly Payment, Amortization & Live Rates

Calculate your monthly mortgage payment, total interest cost, and full amortization schedule. Supports US, UK, Canada, Australia & 170+ currencies. No sign-up needed.

🕐 Last updated: April 30, 2026 | Rate data: today's market estimate

Today's Mortgage Rates — Loading...

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Click any rate card to auto-fill the calculator below. Rates are based on today's market data.

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* Rates shown are approximate market averages. Actual rates vary by lender, credit score, LTV ratio, and loan type. Always get quotes from multiple lenders.

🏠 Home Price $400,000

$10K$3M

💰 Down Payment $80,000

0%$600K

% Down Payment 20.0%

⚠️ No PMI required (≥20% down)

📈 Interest Rate (% p.a.) 6.80%

0.5%15%

🗓️ Loan Term (Years) 30 yrs

1 yr50 yrs

📋 Loan Type

📅 Start Month

🏠 Property Tax ($/yr) $4,800

🛡️ Home Insurance ($/yr) $1,200

⚡ Extra Monthly Payment Save interest, pay off faster

Advanced Mortgage Settings

📊 HOA Fees ($/mo)

🔧 PMI Rate (%)

🏦 Loan Origination Fee (%)

💰 Closing Costs ($)

📈 Annual Rate Adjustment (ARM)

Only applies to ARM loan types

🏠 Estimated Home Appreciation (%/yr)

Switch to Basic tab and calculate to see advanced results.

How Much House Can I Afford?

💵 Annual Gross Income $100,000

📋 Monthly Debts (car, student, etc.) $500

💰 Down Payment Available

📊 Credit Score Range

Full Amortization Schedule

First calculate on Basic tab, then view full schedule here.

Period	Payment	Interest	Principal	Balance
Calculate your mortgage on the Basic tab first to see the amortization schedule.

📊 Mortgage Summary

Monthly Payment

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Principal + Interest only

🏠 Principal + Interest —

🏛️ Property Tax/mo —

🛡️ Home Insurance/mo —

🔧 PMI/mo —

🏘️ HOA Fee/mo —

Principal Interest

💳 Loan Amount —

💰 Total Interest Paid —

📊 Total Cost of Loan —

📅 Payoff Date —

⚖️ 15 vs 30 Year Comparison

Calculate to see comparison.

Free Mortgage Calculator 2026 — How to Calculate Your Monthly Mortgage Payment

Our free mortgage calculator helps homebuyers in the United States, United Kingdom, Canada, Australia, and worldwide calculate their exact monthly mortgage payment, total interest over the life of the loan, and a complete year-by-year amortization schedule — all without signing up or downloading anything.

What is a Mortgage?

A mortgage is a loan used to purchase real estate — typically a home — where the property itself serves as collateral. You borrow money from a lender (bank, credit union, or mortgage company), agree to repay it with interest over a set period (usually 15 or 30 years), and make monthly payments until the loan is paid off. If you fail to make payments, the lender can foreclose (repossess) the property.

In 2026, the average US 30-year fixed mortgage rate is approximately 6.5%–7.5%, significantly higher than the historic lows seen in 2020–2021 (around 2.65%), but comparable to rates in the 1990s and early 2000s.

The Mortgage Payment Formula

The monthly principal and interest (P&I) payment is calculated using the standard amortization formula:

M = P × [r(1+r)^n] / [(1+r)^n - 1]

Where:
M = Monthly mortgage payment
P = Principal loan amount (Home Price − Down Payment)
r = Monthly interest rate (Annual rate ÷ 12 ÷ 100)
n = Total number of payments (Loan term in years × 12)

Example: $400,000 home price, $80,000 down payment (20%), 6.80% annual interest rate, 30-year term:

P = $400,000 − $80,000 = $320,000
r = 6.80% ÷ 12 ÷ 100 = 0.005667
n = 30 × 12 = 360 payments
M = $320,000 × [0.005667 × (1.005667)^360] / [(1.005667)^360 − 1] = $2,087/month
Total Interest Paid = ($2,087 × 360) − $320,000 = $431,320

Understanding Your Total Monthly Payment (PITI)

Most homeowners' actual monthly payment includes more than just principal and interest. The full payment is often called PITI:

P — Principal: The portion that reduces your loan balance
I — Interest: The cost of borrowing money
T — Taxes: Property tax, typically 1–2% of home value per year
I — Insurance: Homeowners insurance, typically $1,000–$2,500/year

If your down payment is less than 20%, most lenders also require PMI (Private Mortgage Insurance), typically 0.5%–1.5% of the loan amount annually, which adds another $100–$400/month to your payment.

How to Use This Mortgage Calculator

Using the FinanceKit Pro mortgage calculator is simple:

Step 1: Enter the home price you're considering purchasing
Step 2: Enter your down payment amount (or adjust the percentage slider)
Step 3: Enter the current mortgage interest rate (or click a rate card above to auto-fill today's rate)
Step 4: Select your loan term (30, 20, 15, or 10 years)
Step 5: Optionally add property tax, home insurance, HOA fees
Step 6: Add any extra monthly payment to see how much interest and time you can save
Step 7: Switch to the Amortization tab to see your full payment schedule

Mortgage Rates by Country (2026)

Mortgage rates vary significantly by country based on central bank policies, economic conditions, and market competition:

United States: 30-year fixed ~6.5–7.5%, 15-year fixed ~6.0–7.0%
United Kingdom: 2-year fixed ~4.5–5.5%, 5-year fixed ~4.2–5.0% (mortgage market is mostly 2–5 year deals)
Canada: 5-year fixed ~5.5–6.5% (note: Canadian mortgages compound semi-annually)
Australia: Variable rate ~6.0–7.0%, Fixed rate ~6.0–7.0% for 1–3 year terms
European Union: Variable ~3.5–5.5%, Fixed 10-year ~3.0–4.5%

Frequently Asked Questions — Mortgage Calculator 2026

What is the current average 30-year mortgage rate in the US in 2026? +

As of April 2026, the average 30-year fixed mortgage rate in the US is approximately 6.5%–7.5%, based on Federal Reserve policy and inflation trends. Rates have eased slightly from late 2023 peaks but remain elevated compared to the pandemic-era lows of 2020–2021. Check our live rate cards above or Freddie Mac's Primary Mortgage Market Survey for the most current weekly averages. Our calculator lets you enter any rate to see your exact monthly payment.

How do I calculate my monthly mortgage payment? +

Your monthly mortgage payment uses the formula: M = P × [r(1+r)^n] / [(1+r)^n - 1], where P is your loan principal (home price minus down payment), r is the monthly interest rate (annual rate ÷ 12 ÷ 100), and n is total payments (years × 12). Example: $320,000 loan at 7% for 30 years = $2,129/month. Our free calculator handles this instantly — just enter your numbers above.

How much house can I afford in 2026 on a $100,000 salary? +

On a $100,000 annual salary ($8,333/month gross), following the 28% front-end rule, your maximum monthly housing payment should be around $2,333. With a 20% down payment and a 7% rate on a 30-year mortgage, this corresponds to roughly a $310,000–$350,000 home. Use our Affordability tab above to get a personalized estimate based on your exact income, debts, down payment, and credit score.

Is a 15-year or 30-year mortgage better in 2026? +

A 15-year mortgage typically offers a lower interest rate (0.5–0.75% less) and you pay dramatically less total interest — often 50–60% less. However, monthly payments are approximately 40–50% higher. A 30-year mortgage maximizes affordability with lower payments, which is valuable in the 2026 high-rate environment. Many financial advisors suggest taking a 30-year mortgage if you plan to invest the difference, as long-term investment returns historically exceed mortgage rates. Use our 15 vs 30-year comparison feature to see both side-by-side with your numbers.

How much down payment do I need to buy a house in the US, UK, or Canada? +

In the US: Conventional loans need 3–20%; FHA loans need 3.5%; VA/USDA loans can be 0%. Below 20% means paying PMI ($100–$400/month). In the UK: most lenders require 5–10% minimum deposit; better rates with 15–40% deposit. In Canada: less than $500K purchase requires 5% minimum; $500K–$1M needs 5% on first $500K + 10% on remainder; over $1M requires 20%. In Australia: typically 5–20%, with LMI (Lenders Mortgage Insurance) charged under 20%.

What is PMI and do I need it? +

PMI (Private Mortgage Insurance) is required in the US on conventional loans when your down payment is less than 20% of the home price. It protects the lender (not you) if you default on the loan. PMI typically costs 0.5%–1.5% of the loan amount annually, adding $100–$400/month to your payment. PMI can be removed once you reach 20% equity — either through payments, appreciation, or both. FHA loans have their own version (MIP) that lasts the life of the loan if you put less than 10% down.

How much money can I save by making extra mortgage payments? +

Extra payments can save tens of thousands in interest. On a $320,000 mortgage at 7% for 30 years: adding $100/month extra saves ~$38,000 in interest and pays off 3.5 years early; adding $200/month saves ~$67,000 and pays off 6 years early; adding $500/month saves ~$130,000 and pays off 11 years early. The earlier you make extra payments, the more you save. Use our Extra Payment field in the Basic tab to calculate your personalized savings.

Can I use this mortgage calculator for UK, Canada, and Australia? +

Yes! Change the currency using the currency selector in the header — GBP (£) for UK, CAD for Canada, AUD for Australia. All results will display in your chosen currency. Note a few country-specific considerations: UK mortgages are commonly 2–5 year fixed deals reverting to SVR; Canada uses semi-annual compounding (not monthly), making effective rates slightly different; Australia has both principal-and-interest and interest-only options. Our calculator uses standard monthly compounding, which is a close approximation for most use cases worldwide.