Calculate your monthly mortgage payments, total interest, and loan payoff date.
A mortgage is a loan used to purchase real estate. The property itself serves as collateral for the loan. Mortgages are typically paid back over 15 to 30 years, with monthly payments that include both principal and interest. Understanding how mortgages work can help you make informed decisions about your home purchase.
| Term | Definition |
|---|---|
| Principal | The amount borrowed. |
| Interest Rate | The cost of borrowing the principal. |
| Loan Term | The duration of the loan. |
| Amortization | The process of paying off the loan over time. |