# Mortgage Calculator

## Enter 4 values below

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

<-- Check for interest only loan

For a standard, 20 year \$75000 loan
@ 8% 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  = 8 12

APR  =  0.0066666666666667
This is the effective interest each month.

## Calculate APY:

APY = ((1+APR)12 - 1) * 100%
APY = ((1 + 0.0066666666666667)12 - 1) * 100%
APY = ((1.0066666666667)12 - 1) * 100%
APY = (1.0829995068075 - 1) * 100%
APY = 0.08299950680751 * 100%
APY = 8.3%

## Calculate Monthly Payment:

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

 Monthly Payment  = 75000 * 0.0066666666666667 (1 - (1 /(1 + 0.0066666666666667))240

 Monthly Payment  = 500 (1 - (1 / 1.0066666666667)240

 Monthly Payment  = 500 1 - 0.99337748344371240

 Monthly Payment  = 500 1 - 0.20297138865083

 Monthly Payment  = 500 0.797029

Monthly Payment = 627.33

## Calculate Total Payments:

Total Payments = Monthly Payment * Months in the Loan
Total Payments = 627.33 * 240
Total Payments = \$150,559.20
You will end up paying \$150,559.20 - \$75,000.00 = \$75,559.20 above the principal on this loan.

Monthly Payment = 627.33

### 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