Mortgage Amortization Calculator Standard Extra Payments Refinance ...
Mortgage Amortization Calculator
Standard Amortization Schedule
Loan Amount ($)
Annual Interest Rate (%)
Loan Term (Years)
Early payments are mostly interest. Principal portion increases over time.
Extra Payments Analyzer
Loan Amount ($)
Annual Interest Rate (%)
Monthly Extra Payment ($)
Even small extra payments significantly reduce interest and shorten loan term.
Refinance Comparison
Current Loan Balance ($)
Current Interest Rate (%)
New Interest Rate (%)
Lower rates reduce monthly payments and total interest. Consider closing costs!
Tax & Insurance Estimator
Property Value ($)
Annual Property Tax Rate (%)
Annual Home Insurance ($)
Principal + Interest + Taxes + Insurance = Total Monthly Housing Cost
Biweekly Payment Planner
Loan Amount ($)
Annual Interest Rate (%)
Loan Term (Years)
26 half-payments = 13 full payments/year. Saves years and thousands in interest.
Interest-Only Period Calculator
Loan Amount ($)
Interest-Only Period (Years)
Amortization Period (Years)
Lower initial payments, but higher payments later when principal repayment begins.
Amortization Export Tool
Loan Amount ($)
Annual Interest Rate (%)
Loan Term (Years)
Generate a complete amortization schedule for printing or spreadsheet import.
Results
Visualization
Master Your Mortgage: The Ultimate Amortization Guide
Understanding Mortgage Amortization
Amortization is the process of paying off a debt over time through regular payments. A mortgage amortization schedule shows how each payment is split between interest and principal. In the early years, most of your payment goes toward interest; as the loan matures, more goes toward reducing the principal balance.
The Power of Extra Payments
Making extra payments toward your principal can dramatically reduce your loan term and total interest paid. Even small additional amounts—like $100–$200 per month—can save tens of thousands of dollars and shave years off your mortgage. Most lenders allow extra payments without penalty, making this one of the most effective debt-reduction strategies available.
Biweekly Payment Strategy
Biweekly payments (every two weeks instead of monthly) result in 26 half-payments per year—equivalent to 13 full monthly payments. This extra payment each year accelerates principal reduction and can shorten a 30-year mortgage by 5–7 years while saving significant interest.
Refinancing Considerations
Refinancing replaces your existing mortgage with a new one, typically at a lower interest rate. While this reduces monthly payments and total interest, it also resets the loan term and incurs closing costs (typically 2–5% of the loan amount). Calculate your break-even point—the time needed to recoup closing costs through monthly savings—to determine if refinancing makes sense.
PITI: Understanding Your Total Payment
Your total monthly housing cost includes more than just principal and interest. PITI stands for:
- Principal
- Interest
- Taxes (property taxes)
- Insurance (homeowners insurance)
Lenders use PITI to assess affordability, and it's essential for accurate budgeting.
Interest-Only Mortgages: Proceed with Caution
Interest-only mortgages offer lower initial payments because you're only paying interest for a set period (typically 5–10 years). However, when the interest-only period ends, your payment jumps significantly as you begin repaying principal. These loans carry higher risk and are generally not recommended for primary residences unless you have substantial income stability.
Exporting Your Amortization Schedule
A complete amortization schedule is invaluable for tax planning, budgeting, and understanding your loan's progression. It shows exactly how much interest you'll pay each year (useful for tax deductions) and helps you track your equity buildup over time. Use our export tool to generate a printable schedule or import it into spreadsheet software for further analysis.
Conclusion: Take Control of Your Mortgage
Understanding your mortgage amortization empowers you to make informed decisions about extra payments, refinancing, and long-term financial planning. Use this calculator suite to model different scenarios, compare strategies, and create a mortgage payoff plan that aligns with your financial goals and timeline.
Frequently Asked Questions
A: Each payment is divided between interest and principal. Early payments are mostly interest; later payments are mostly principal. The schedule shows this breakdown for every payment over the loan term.
A: Most conventional mortgages allow extra payments without penalty. However, some loans (especially older ones) may have prepayment penalties—always check your loan terms.
A: Biweekly payments automatically give you 13 payments per year. Making one extra monthly payment annually achieves the same result—you can choose whichever method fits your budget better.
A: Divide total closing costs by your monthly savings. For example, $5,000 in costs ÷ $200 monthly savings = 25 months break-even. If you plan to stay longer, refinancing makes sense.
A: If you have less than 20% equity, your lender typically requires an escrow account that includes property taxes and insurance in your monthly payment. With 20%+ equity, you may be able to pay these separately.
A: Investors sometimes use them for cash flow management, or high-income earners with irregular income may prefer lower initial payments. However, they carry significant risk when payments increase later.
A: Yes—most lenders provide this upon request, and many offer online access through their customer portals. Our calculator helps you model scenarios before committing to a loan.