# $300,000 Mortgage at 6% for 30 Years — Mortgage Calculator > Estimate the monthly payment on a $300,000 mortgage at 6% annual interest over 30 years, including principal, interest, taxes, and insurance. - **Category:** Finance & Money - **Interactive calculator:** https://youcalc.com/en/finance-money/mortgage/300k-at-6pct-30yr/ - **Price:** Free, no sign-up required - **Full calculator:** [Mortgage Calculator](https://youcalc.com/en/finance-money/mortgage/) - **Pre-filled inputs:** `p=300000&r=6&t=30` ## Overview This calculator estimates your full monthly mortgage payment — principal, interest, property taxes, home insurance, PMI, and HOA — the figure lenders call PITI. Enter your home price, down payment, interest rate, and loan term, then add any escrow items to see the true cost of ownership each month. ## How to read your result The headline figure is your total monthly PITI payment. The payment-breakdown panel shows how that amount splits across each component: P&I is the loan repayment portion that reduces your balance over time, while the escrow items (property tax, home insurance, PMI, HOA) are fixed pass-throughs that do not reduce your debt. The amortization table beneath the chart lists every month's interest charge, principal applied, and remaining balance — notice how the interest share shrinks and the principal share grows as the loan matures. If you see a large total-interest figure, that reflects how much interest accumulates across a 15- or 30-year term; you can test a shorter term or extra payments in the companion Mortgage Payoff calculator. ## Method The principal-and-interest portion is computed using the standard level-payment amortization formula: M = P × r(1+r)ⁿ / ((1+r)ⁿ − 1), where P is the loan amount (home price minus down payment), r is the monthly interest rate (annual rate divided by 12), and n is the total number of monthly payments (term in years multiplied by 12). At a 0% rate the formula simplifies to M = P / n. From that fixed P&I payment, a month-by-month amortization schedule is built: each month's interest equals the remaining balance multiplied by the monthly rate, the remainder of the payment reduces the principal, and the final month absorbs any accumulated rounding difference so the balance closes exactly to zero. Property tax and home insurance are divided by 12 and added to P&I each month; PMI and HOA dues are added as their stated monthly amounts. Summing these components produces the PITI total shown in the headline. ## Example - **Setup:** A 400,000 home with an 80,000 down payment (20%), a 7% annual rate, a 30-year term, 4,800 in annual property tax, and 1,200 in annual home insurance. PMI is zero because the down payment meets the 20% threshold. - **Result:** The loan amount is 320,000. The P&I payment works out to 2,128.97 per month. Adding 400 in monthly property tax and 100 in monthly home insurance brings the total PITI payment to 2,628.97 per month. Over 30 years you pay 946,428.47 in total — of which 446,428.44 is interest. ## Frequently asked questions ### What is PITI? PITI stands for Principal, Interest, Taxes, and Insurance — the four standard components of a monthly mortgage payment. Most lenders quote PITI because it represents what you actually pay each month, including the escrow contributions for tax and insurance that the lender collects on your behalf. ### When is PMI required and when does it go away? Private mortgage insurance is typically required by conventional lenders when your down payment is under 20% of the purchase price, because you start with less than 20% equity. On conventional loans, PMI automatically cancels when your balance reaches 78% of the original purchase price; you can request cancellation at 80%. FHA loans carry mortgage insurance for the life of the loan in most cases, regardless of equity. ### How does a larger down payment affect my payment? A larger down payment reduces your loan amount directly, which lowers both the P&I portion and the total interest paid over the life of the loan. Reaching 20% also eliminates PMI, which can save hundreds per month. The trade-off is a larger upfront cash outlay. ### Why is so much of my early payment going to interest? Interest is charged on the outstanding balance each month. At the start of the loan the balance is at its highest, so interest consumes most of the payment. As you pay down the principal the balance falls, interest shrinks, and more of each payment reduces the loan — a pattern called amortization. ### Does this calculator show the effect of extra payments? This calculator models the standard level-payment schedule. To see how extra monthly or lump-sum payments shorten your loan and cut total interest, use the companion Mortgage Payoff calculator. ## Related calculators - [Mortgage Payoff Calculator](https://youcalc.com/en/finance-money/mortgage-payoff/) - [Auto Loan Calculator](https://youcalc.com/en/finance-money/auto-loan/) - [Loan Calculator](https://youcalc.com/en/finance-money/loan/) - [Compound Interest Calculator](https://youcalc.com/en/finance-money/compound-interest/) - [Retirement Savings Calculator](https://youcalc.com/en/finance-money/retirement-savings/) ## Sources - https://www.investopedia.com/mortgage-calculator-5096931 - https://www.consumerfinance.gov/ask-cfpb/what-is-private-mortgage-insurance-en-122/ - https://www.calculator.net/mortgage-calculator.html --- Interactive version: https://youcalc.com/en/finance-money/mortgage/300k-at-6pct-30yr/ · From YouCalc — https://youcalc.com