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15-Year Fixed Mortgage Calculator
A 15-year fixed mortgage is repaid in 180 equal monthly payments at a rate that stays the same for the whole loan. The payment is larger than on a longer loan, but the balance falls faster and much less interest is paid.
The starting figures show a $240,000 loan at 5.75 percent. Change them to match your own loan and the results update as you type.
How the payment is worked out
Every payment on a fixed loan is the same size. To find it, multiply $240,000 by the monthly rate of 0.4792 percent. Then divide by one minus the reciprocal of one plus that rate raised to the power of 180. That power is the number of monthly payments in 15 years.
Worked example
On the $240,000 loan at 5.75 percent, the 15-year payment is $1,992.98 a month. Total interest comes to $118,737.
Spread the same loan over 30 years and the payment drops to $1,400.57, which is $592.41 less each month. The price of that lower payment is $264,207 of interest, so the 15-year loan saves $145,470.
Questions about this calculator
How much higher is a 15-year payment than a 30-year one?
For the example loan the gap is $592.41 a month, which is 42 percent more. The gap grows with the loan size and shrinks when the rate is lower.
Is a 15-year loan always the better choice?
Not always. The higher payment leaves less room each month. Keeping cash free can matter more than the interest saved. How steady your income is should guide the choice.
Do 15-year loans carry a lower rate than 30-year loans?
Lenders often price shorter loans at a lower rate, but the gap varies by lender and borrower. This page lets you type any rate, so you can test both sides of that gap.
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This page is for education only and is not financial or tax advice.