Mortgage payment with taxes, insurance and PMI

The payment you will really make each month, not just principal and interest: property tax, homeowners insurance, private mortgage insurance and HOA dues, and when the PMI stops.

Monthly payment

$2,942.11

$2,275 of principal and interest plus $667 of tax, insurance and fees

10% down: $40,000
Loan $360,000
PMI ends after 9 years 1 month

On a $400,000 home with 10% down ($40,000), the loan is $360,000. At 6.5% for 30 years, principal and interest is $2,275.44 a month. Adding $366.67 for property tax, $150.00 for insurance and $150.00 for PMI, you pay $2,942.11 a month.

Because the loan is 90% of the price, you pay PMI. You can ask your servicer to cancel it once your balance is scheduled to reach 80% of the original value, after 95 payments (7 years 11 months). It ends on its own at 78%, after 109 payments (9 years 1 month), if you are current: about $16,350 of PMI in all, and the payment then falls to $2,792.11.

Property tax and insurance are usually collected with your payment into an escrow account and paid for you. They change from year to year, so the payment can go up or down even with a fixed rate.
PMI rules differ for FHA and VA loans, and when the lender pays the PMI. These dates are for a conventional loan on a main home.
Closing costs, the cost of moving and repairs are not part of the monthly payment. See the buying a home checklist.

I’m not an accountant or a financial advisor. This is an estimate, for information only. Check with a professional before you decide.

Your numbers

example: change the numbers

Home price

The price you pay for the home.

Down payment

The share of the price you pay in cash. Below 20% most lenders require PMI.

Interest rate

The yearly interest rate on the loan. The example is not today’s market rate: type the rate you were quoted.

Loan term

Usually 30 or 15 years.

Property tax a year, as a share of the price

Property tax varies by county. Take last year’s tax bill on the home and divide it by its price, or ask the county assessor. The example is only an example.

Homeowners insurance, a year

The yearly premium for the home. Your lender requires it. Get a quote: it depends on where the home is.

PMI a year, as a share of the loan

Private mortgage insurance, charged when the down payment is under 20%. Your lender quotes the rate, which depends on your credit score and down payment. Enter 0 if you have none.

HOA dues, a month

Dues for a homeowners association or a condo, if any. Enter 0 if none.

Show the detailsHide the details

Each month
	Principal and interest$360,000 loan at 6.5% over 30 years	$2,275.44
+	Property tax1.10% of the price a year	$366.67
+	Homeowners insurance$1,800 a year	$150.00
+	PMI0.50% of the loan a year	$150.00
=	Monthly payment	$2,942.11
	Interest over the whole loan	$459,160.16

How it works

Take the home price minus your down payment: that is the loan. The monthly principal and interest is the fixed payment that pays the loan off over its term at your rate.
Add one twelfth of the yearly property tax and one twelfth of the homeowners insurance. This is why the payment you make is called PITI: principal, interest, taxes and insurance.
If your down payment is under 20%, add the monthly PMI. Add HOA dues if there are any. Cancel the PMI when your balance reaches 80% of the original value (on request) or 78% (automatic).

Worked example

A $400,000 home with 10% down: loan $360,000. At 6.5% for 30 years, principal and interest is $2,275.44. Property tax at 1.1% of the price is $366.67 a month, insurance $1,800 a year is $150, PMI at 0.5% of the loan is $150. Total $2,942.11 a month.

Sources

Text checked on October 12, 2026

Good to know

The usual rule is that lenders ask for PMI when the down payment is under 20% of the price. The rate depends on your credit score, your down payment and the loan; the example here is not a quote.
You can ask to cancel PMI when your balance is scheduled to fall to 80% of the original value, with a written request, a good payment history, no second mortgage and proof that the home has not lost value. It ends automatically at 78%, and in any case after the middle of the loan term (CFPB).
The “original value” is the lower of the sale price and the appraised value when you bought. Paying extra principal can bring the 80% date forward.
Property tax is set by your local government and the rate varies widely from county to county. Insurance depends on the home, its location and the risks around it.
A bigger down payment lowers the loan, the payment and the interest, and can remove PMI altogether. Keep a cash reserve for repairs and moving after you buy.
FHA loans have their own mortgage insurance premium and VA loans have a funding fee instead: this calculator does not model them.

Frequently asked questions

What is included in a mortgage payment?

Principal and interest on the loan, plus usually a share of the yearly property tax and homeowners insurance (PITI), and PMI if your down payment is under 20%. HOA dues are paid separately but count toward what you can afford.

When can I stop paying PMI?

You can ask to cancel it when your balance is scheduled to reach 80% of the home’s original value. It ends automatically at 78% if you are current on payments, and at the latest after the middle of the loan term (CFPB).

How much PMI will I pay?

It depends on your credit score, down payment and loan: ask your lender for a quote. This calculator uses the rate you enter, as a percentage of the loan each year.

How much down payment do I need to avoid PMI?

20% of the home price on a conventional loan. With less, the lender usually requires PMI until your balance reaches 78% of the original value.

Can the payment change with a fixed rate?

Yes. The principal and interest stay the same, but property tax and insurance change with the county and the insurer, and the escrow payment follows them.