Mortgage Calculator With Extra Payments and Amortization

Animated interest rate graphicUse the amortization calculator to see how extra payments may save you money by lowering the total amount of interest you pay over the life of your home mortgage.

If it makes sense to make extra monthly payments, input your loan details to determine your savings.

Q. Are there fees to pay off a mortgage? ?
A. A prepayment penalty is a cost levied by certain lenders if you pay off all or a portion of your mortgage early. If you have a prepayment penalty, you agreed to it when you closed on your house. Prepayment penalties may not apply to all mortgages.

Typically, a prepayment penalty occurs only if you pay off the full mortgage amount within a certain number of years-for example, because you sold your house or refinanced your mortgage (usually three or five years). If you pay off a significant portion of your mortgage at once, you may be subject to a prepayment penalty in certain circumstances. Prepayment penalties are usually waived if you pay the additional principal on your mortgage in modest increments–but it's always a good idea to double-check with your lender. SOURCE: Consumer Financial Protection Bureau

Q. Can I make a large payment to my mortgage?
A. The lender/servicer will always accept an additional payment since it reduces the default risk.

Q. Can you pay extra towards your principal mortgage?
A. Most mortgage companies allow you to pay extra on your principal if you so choose. For example, you might pay an additional $50 or $100 per month or make one extra mortgage payment each year. The advantage of adopting this method is that it will decrease the total amount of interest you pay throughout the life of the loan.

Q. Do I get my escrow money back when I refinance?
A. Yes

Q. Does paying down principal lower the amount of interest?
A. Putting additional money towards your mortgage does not reduce your monthly payment. The additional principle payment will lower your interest costs throughout the term of the loan. 

Q. How can I lower my escrow payment?
A. You will not be able to decrease your mortgage payment's principle and interest component, but if your property taxes are escrowed, you may wish to appeal the real estate taxes. Look for a lower-cost homeowner's insurance coverage. Is your loan backed by mortgage insurance? Speak with your lender about getting the PMI removed or lowered.