Loan Repayment Calculator — $200.000 at 5% for 30 Years
Calculate monthly payments, total interest, and amortization schedule for any loan or mortgage.
Inputs
Total amount you're borrowing
Annual interest rate percentage
Length of the loan in years
Additional payment to reduce principal faster
Loan Optimization Ideas
- Test extra payments: Apply different extra payment amounts to see how they shorten the loan term and trim total interest.
- Evaluate refinance options: Adjust the interest rate to simulate refinancing scenarios and confirm the breakeven point once closing costs are considered.
- Integrate with long-term plans: Use the Net Worth Projection Tool to see how mortgage payoff speed influences your broader wealth trajectory.
Frequently Asked Questions
How is my monthly mortgage payment calculated?
Monthly payments are calculated using the amortization formula, which accounts for loan amount, interest rate, and loan term. Payments are split between principal (the loan amount) and interest (the cost of borrowing).
Should I make extra payments on my mortgage?
Extra payments reduce your total interest paid and can shorten your loan term. However, consider whether you could earn a higher return by investing that money instead, especially if your mortgage rate is low.
How does interest rate affect my payment?
Higher interest rates increase your monthly payment and total interest paid. Even a 1% difference can add tens of thousands of dollars in interest over the life of a loan. Shopping for the best rate is crucial.