Question 1

How is a monthly mortgage payment calculated?

Accepted Answer

Monthly mortgage payment is typically calculated with an amortized loan formula using loan amount, interest rate, and loan term. This page also presents taxes, insurance, and HOA as separate monthly costs.

Question 2

Does this mortgage calculator include taxes and insurance?

Accepted Answer

Yes. The experience shows principal and interest separately, then adds property tax, insurance, and HOA to create a fuller monthly housing estimate.

Question 3

What is the difference between a 15-year and 30-year mortgage?

Accepted Answer

A 15-year mortgage usually has a higher monthly payment but lower total interest, while a 30-year mortgage usually lowers the monthly payment but increases the total amount paid over time.