▶ INSERT LOAN DATA ◀
MORTGAGE
CALCULATOR
QUEST PARAMETERS
$
$
%
YR
$
$
%
$
PAYMENT BREAKDOWN
Principal
Interest
Tax+Ins+PMI
Monthly Payment
$0
Total Cost
$0
Total Interest
$0
Loan Amount
$0
Down Payment %
0%
Payoff Date
—
⬆ EXTRA PAYMENT BONUS ACTIVATED
—
LOAN STATS
Principal
0%
Interest
0%
Down Pmt
0%
🏆 ACHIEVEMENTS
🔒 20% DOWN
🔒 RATE < 6%
🔒 EXTRA PAYER
🔒 15-YR WARRIOR
🔒 LOW INTEREST
AMORTIZATION QUEST LOG
| YEAR | PRINCIPAL | INTEREST | BALANCE | EQUITY% |
|---|
THE MORTGAGE FORMULA
M = P × [r(1+r)^n] / [(1+r)^n – 1]
P = principal, r = monthly rate (APR ÷ 12), n = total payments (years × 12). This gives your base principal + interest payment.
THE 28% RULE
Your total housing payment (PITI: Principal, Interest, Tax, Insurance) should stay below 28% of your gross monthly income for financial comfort. Lenders typically cap at 36% total debt.
PMI — WHAT IS IT?
Private Mortgage Insurance is required when your down payment is below 20%. PMI protects the lender, not you. It typically costs 0.2–2% annually and can be removed once you reach 20% equity.
EXTRA PAYMENTS POWER
Even $100/month extra can shave years off your loan and save tens of thousands in interest. Extra payments go directly to principal, rapidly building equity and reducing your loan’s life.
KNOWLEDGE BASE
Should I choose a 15 or 30-year mortgage?▶
A 15-year mortgage saves massive amounts of interest (often 50%+ of what a 30-year costs) but has higher monthly payments. A 30-year provides cash flow flexibility. If you can comfortably afford the 15-year payment, the math almost always favors it — but only if you won’t need that extra cash flow.
How does a higher credit score affect my rate?▶
A 760+ score vs a 620 score can mean a difference of 1.5–2.5% in interest rate. On a $400,000 loan, that’s $200–$400/month and potentially $80,000–$150,000 over 30 years. Improving your credit before applying for a mortgage is one of the highest-ROI financial moves you can make.
When should I refinance my mortgage?▶
The classic rule of thumb: refinance if rates drop 1%+ below your current rate and you plan to stay in the home long enough to recoup closing costs (typically 2–3 years). Use the break-even calculation: closing costs ÷ monthly savings = months to break even.