Lenders qualify you on PITI, not just principal and interest. Property taxes average about 1% of home value nationally (from 0.3% in Hawaii to over 2% in New Jersey and Illinois), and insurance has risen sharply in hurricane and wildfire areas.
How to use the Mortgage Calculator with Taxes and Insurance
- Home value
- Down payment
- Interest rate
- Loan term
- Property tax rate (yearly)
- Homeowner insurance (yearly)
- PMI rate (yearly)
- HOA fee (monthly)
Results update as you type, and every field accepts the units shown in its menu.
How it works
Enter the home price, down payment, rate, term, property tax rate, insurance, PMI rate and HOA fee.
Tips
- Get a written loan estimate and compare the APR, not just the interest rate.
- Include property tax, insurance, HOA fees and maintenance in your monthly budget.
- A larger down payment lowers the payment and can remove mortgage insurance.
- Rates change daily – use a current quote for the most accurate result.
Common mistakes to avoid
- Looking only at the monthly payment instead of the total cost of the loan.
- Forgetting closing costs and fees.
- Assuming home prices always rise.
Inputs explained
| Field | What to enter |
|---|---|
| Home value | Amount in your currency |
| Down payment | In % |
| Interest rate | In % |
| Loan term | Units: years, months |
| Property tax rate (yearly) | In % |
| Homeowner insurance (yearly) | Amount in your currency |
| PMI rate (yearly) | In % |
| HOA fee (monthly) | Amount in your currency |
What each result means
- Loan amount = [Home value]×(1 – [Down payment]÷100)
- Principal and interest = pmt([Interest rate]÷1200, [Loan term], [Loan amount])
- Property tax (monthly) = [Home value]×[Property tax rate (yearly)]÷1200
- Insurance (monthly) = [Homeowner insurance (yearly)]÷12
- Total monthly payment = [Principal and interest] + [Property tax (monthly)] + [Insurance (monthly)] + [PMI (monthly)] + [HOA fee (monthly)]
- Principal and interest share = [Principal and interest]÷[Total monthly payment]×100
- Total interest over the loan = [Principal and interest]×[Loan term] – [Loan amount]
Example values
How the main result changes when Home value changes and everything else stays at the example values above:
| Home value | Total monthly payment |
|---|---|
| 200,000 | 1,612.72 |
| 300,000 | 2,310.75 |
| 400,000 | 3,008.78 |
| 500,000 | 3,706.81 |
| 600,000 | 4,404.83 |
| 800,000 | 5,800.89 |
Formula
P&I = pmt(rate ÷ 12, months, loan)Total monthly = P&I + property tax ÷ 12 + insurance ÷ 12 + PMI + HOAWorked example
Inputs — Home value: $400,000; Down payment: 10 %; Interest rate: 6.5 %; Loan term: 30 years; Property tax rate (yearly): 1.1 %; Homeowner insurance (yearly): $2,000; PMI rate (yearly): 0.5 %; HOA fee (monthly): $50.
Results — Loan amount = $360,000.00; Principal and interest = $2,275.44; Property tax (monthly) = $366.67; Insurance (monthly) = $166.67; PMI (monthly) = $150.00; Total monthly payment = $3,008.78; Principal and interest share = 75.63 %; Total interest over the loan = $459,160.16.
Frequently asked questions
What is PITI?
Principal, interest, taxes and insurance – your full mortgage payment.
How much is property tax?
Around 1% of home value per year on average in the U.S.
Is homeowner insurance required?
Lenders require it for as long as you have a mortgage.
What formula does the Mortgage Calculator with Taxes and Insurance use?
P&I = pmt(rate ÷ 12, months, loan).