 # Mortgage Calculator

## Enter 4 values below

<-- APR%
<-- Loan Amount
<-- Years of Loan
<-- Time (t)

<-- Check for interest only loan

For a standard, 20 year \$200000 loan
@ 6% APR
with payments at end of month
calculate the monthly payment:

## Calculate Months:

Your loan term is for 20 years.
Months = 12 * Years
Months = 12 * 20
Months = 240

## Calculate APR:

 APR  = Annual APR 12

 APR  = 6 12

APR  =  0.005
This is the effective interest each month.

## Calculate APY:

APY = ((1+APR)12 - 1) * 100%
APY = ((1 + 0.005)12 - 1) * 100%
APY = ((1.005)12 - 1) * 100%
APY = (1.0616778118645 - 1) * 100%
APY = 0.061677811864498 * 100%
APY = 6.17%

## Calculate Monthly Payment:

 Monthly Payment  = Loan Amt * APR 1 - (1/(1 + APR))n

 Monthly Payment  = 200000 * 0.005 (1 - (1 /(1 + 0.005))240

 Monthly Payment  = 1000 (1 - (1 / 1.005)240

 Monthly Payment  = 1000 1 - 0.99502487562189240

 Monthly Payment  = 1000 1 - 0.30209614158536

 Monthly Payment  = 1000 0.697904

Monthly Payment = 1432.86

## Calculate Total Payments:

Total Payments = Monthly Payment * Months in the Loan
Total Payments = 1432.86 * 240
Total Payments = \$343,886.40
You will end up paying \$343,886.40 - \$200,000.00 = \$143,886.40 above the principal on this loan.

Monthly Payment = 1432.86

### How does the Mortgage Calculator work?

Calculates the monthly payment, APY%, total value of payments, principal/interest/balance at a given time as well as an amortization table on a standard or interest only home or car loan with fixed interest rate. Handles amortized loans.
This calculator has 4 inputs.

### What 2 formulas are used for the Mortgage Calculator?

1. Monthly Payment = Loan Amt * APR/(1 - (1/(1 + APR))n)

For more math formulas, check out our Formula Dossier

### What 4 concepts are covered in the Mortgage Calculator?

interest
payment from a borrower or deposit-taking financial institution to a lender or depositor of an amount above repayment of the principal sum, at a particular rate
loan
a thing that is borrowed, especially a sum of money that is expected to be paid back with interest.
mortgage
an agreement between you and a lender that allows you to borrow money to purchase or refinance a home and gives the lender the right to take your property if you fail to repay the money you have borrowed.
principal
The amount borrowed on a loan, before interest is charged