Is a 30-year mortgage better than a 15-year?

Better for cash flow; worse for total cost. The 30-year gives you margin to invest the difference or weather a downturn. The 15-year locks in lower total interest.

Why is my real mortgage quote higher than this?

Likely HOA, PMI (if less than 20% down), and an escrow cushion. Add those to the PITI number this calculator shows.

How does my credit score affect my 30-year mortgage rate?

FICO 740+: best available rate (currently ~6.5-6.75% for conventional). 700-739: +0.125-0.25%. 660-699: +0.5-0.75%. 620-659: +0.75-1.5%. Below 620: very limited options, FHA only. The 0.5% rate gap on a $320K loan over 30 years: $33,000 of total interest. Improving credit before applying often saves more than equivalent extra-payment strategies. Pull your credit report 6 months before mortgage shopping; address errors and pay down revolving debt to lift score.

Should I pay points to lower my 30-year rate?

Points (also 'discount points') = upfront fee to lower your rate. 1 point = 1% of loan amount, typically lowers rate by 0.25%. On a $320K loan, 1 point costs $3,200 and saves about $50/month. Break-even: ~64 months (5.3 years). Pay points if: you'll keep the mortgage 5+ years, you have cash beyond down payment and emergency fund, and you'd otherwise put it in a low-yield savings account. Skip points if: you might refinance or sell within 5 years, you need cash for moving / repairs, or rates may drop soon.

What happens to my 30-year mortgage if I sell the home in 5 years?

When you sell, the mortgage is paid off from sale proceeds. After 5 years on a $320K, 6.75% loan, you've paid down about $33K of principal and $103K of interest. If home value has risen to $440K, you net (after agent fees ~6% = $26K, closing ~1% = $4K) about $410K. Subtract remaining mortgage balance ($287K) = $123K equity. Subtract original $80K down payment = $43K profit. Most 30-year mortgages have no prepayment penalty after the first 3-5 years; check loan documents.

Should I make biweekly payments instead of monthly?

Biweekly payments (half the monthly amount every 2 weeks) result in 26 half-payments = 13 full payments per year instead of 12 — one extra full payment annually. On a $320K, 6.75%, 30-year mortgage, this cuts the term by ~5 years and saves ~$80K in interest. Functionally equivalent: pay 1/12 of an extra payment monthly ($173 extra on a $2,076 P&I payment). Some lenders charge biweekly setup fees; if so, just pay 1/12 extra yourself. Make sure extra goes to principal, not future payments — explicitly note 'apply to principal' in the memo.

Money & Finance · Free tool

30-Year Mortgage Calculator

Estimate monthly payments on a 30-year fixed-rate mortgage, including principal, interest, property tax, and insurance.

Updated June 2026

Home price ($)Down payment (%)Rate (%)Term (years)Property tax (% / yr)Insurance ($ / yr)HOA ($ / mo)PMI (% / yr) (waived at 20%+ down)

Monthly payment (all in)

$2,576

P&I

$2,076

Property tax

$400

Insurance

$100

Total cost over 30 years

Down payment: $80,000
Loan amount: $320,000
Total interest: $427,185
Total cost of home: $1,007,185

P&I uses the standard fixed-rate amortization formula. PMI assumes conventional rules (drops off when balance ≤ 80% of original price). Taxes, insurance, and HOA are held flat — in reality they drift up over time.

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What it does

A 30-year mortgage calculator with PITI: principal, interest, taxes, and insurance. The 30-year fixed is the most popular mortgage in the US for one reason — the monthly payment is about 40% lower than a 15-year on the same loan amount. That lower monthly is the tradeoff for paying much more total interest over the life of the loan.

A $320,000 loan (80% of a $400,000 home) at 6.75% for 30 years is roughly $2,076/month in P&I alone — $346,000 of interest over three decades. Taxes and insurance push the real monthly 20-30% higher. Know the PITI before you offer on a house.

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Example input & output

Input

Home price: $400,000
Down payment: 20%
Rate: 6.75%
Term: 30 years

Output

P&I: $2,076/mo
Taxes: $400/mo (1.2%)
Insurance: $100/mo
Total PITI: $2,576/mo

Over 30 years you’ll pay about $747k total for a $320k loan. The 15-year version on the same loan pays about $510k total but at $2,830/mo.

How to use it

Enter the home price and down payment percent.
Enter the rate; 30-year fixed rates change with the market.
Estimate property tax rate (1-2.5% of home value is typical in the US).
Enter annual insurance; $1,200-$2,500 is typical.
Read the full PITI monthly payment.

When to use this tool

30-year fixed-rate conventional loans.
Refinance scenarios into a 30-year term.

When not to use it

Adjustable-rate mortgages.
Interest-only or balloon products.

Common use cases

Comparing homes at different price points.
Checking the affordability of a 30-year loan against the 28% income rule.
Comparing a new 30-year vs refinancing into a 15-year.

Frequently asked questions

Is a 30-year mortgage better than a 15-year?: Better for cash flow; worse for total cost. The 30-year gives you margin to invest the difference or weather a downturn. The 15-year locks in lower total interest.
Why is my real mortgage quote higher than this?: Likely HOA, PMI (if less than 20% down), and an escrow cushion. Add those to the PITI number this calculator shows.
How does my credit score affect my 30-year mortgage rate?: FICO 740+: best available rate (currently ~6.5-6.75% for conventional). 700-739: +0.125-0.25%. 660-699: +0.5-0.75%. 620-659: +0.75-1.5%. Below 620: very limited options, FHA only. The 0.5% rate gap on a $320K loan over 30 years: $33,000 of total interest. Improving credit before applying often saves more than equivalent extra-payment strategies. Pull your credit report 6 months before mortgage shopping; address errors and pay down revolving debt to lift score.
Should I pay points to lower my 30-year rate?: Points (also 'discount points') = upfront fee to lower your rate. 1 point = 1% of loan amount, typically lowers rate by 0.25%. On a $320K loan, 1 point costs $3,200 and saves about $50/month. Break-even: ~64 months (5.3 years). Pay points if: you'll keep the mortgage 5+ years, you have cash beyond down payment and emergency fund, and you'd otherwise put it in a low-yield savings account. Skip points if: you might refinance or sell within 5 years, you need cash for moving / repairs, or rates may drop soon.
What happens to my 30-year mortgage if I sell the home in 5 years?: When you sell, the mortgage is paid off from sale proceeds. After 5 years on a $320K, 6.75% loan, you've paid down about $33K of principal and $103K of interest. If home value has risen to $440K, you net (after agent fees ~6% = $26K, closing ~1% = $4K) about $410K. Subtract remaining mortgage balance ($287K) = $123K equity. Subtract original $80K down payment = $43K profit. Most 30-year mortgages have no prepayment penalty after the first 3-5 years; check loan documents.
Should I make biweekly payments instead of monthly?: Biweekly payments (half the monthly amount every 2 weeks) result in 26 half-payments = 13 full payments per year instead of 12 — one extra full payment annually. On a $320K, 6.75%, 30-year mortgage, this cuts the term by ~5 years and saves ~$80K in interest. Functionally equivalent: pay 1/12 of an extra payment monthly ($173 extra on a $2,076 P&I payment). Some lenders charge biweekly setup fees; if so, just pay 1/12 extra yourself. Make sure extra goes to principal, not future payments — explicitly note 'apply to principal' in the memo.

See how this compares

Head-to-head15-year vs 30-year mortgage15-year vs 30-year mortgage compared: monthly payment, total interest, flexibility, and who each term is actually best for. Use our free calculator to run the numbers on your own loan.

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