Mortgage payment with taxes, insurance and PMI

With r as the monthly rate (annual rate ÷ 12 ÷ 100) and n as the number of payments, the payment is P × r ÷ (1 − (1 + r)^−n), where P is the loan. A 320,000 loan at 6.5% over 30 years is 2,022.62 a month.

In the United States, the Homeowners Protection Act (1998) requires the lender to end PMI automatically when the scheduled balance reaches 78% of the home’s original value, if payments are up to date. You can ask in writing to end it at 80%. This calculator drops PMI once the actual balance is at or below 78% of the price, which can be earlier than your lender’s schedule if you pay extra. Rules as written at the time of writing.

It adds principal and interest to the property tax, home insurance, HOA fees and PMI you enter. It leaves out closing costs and maintenance, and it assumes tax, insurance and fees stay the same. Some lenders collect tax and insurance into an escrow account, so the bill is shaped the same way.

Yes. An extra payment goes to the balance, so less interest builds up and the loan ends sooner. Check with your lender that extra money is applied to principal and that there is no prepayment penalty.