Mortgage Payoff Calculator
Estimate how extra principal payments could shorten a mortgage term and reduce future interest. Compare recurring extra payments, lump sums or a combination of the two.
Review Your Payoff Strategy
How to Use the Mortgage Payoff Calculator
- Enter the current principal balance.
- Enter the interest rate and remaining loan term.
- Add the extra amount you plan to pay toward principal.
- Select when the extra payments would begin and whether they repeat.
- Compare the original payoff schedule with the accelerated schedule.
Use the current unpaid principal balance rather than the original loan amount. Confirm that your mortgage servicer applies extra funds to principal and review the loan terms for any applicable restrictions.
Understanding the Result
New estimated payoff date
Shows when the balance could reach zero if the additional payments continue as entered.
Time saved
Compares the accelerated schedule with the original remaining term.
Estimated interest saved
Reflects the reduction in future interest caused by lowering the principal sooner.
Required payment
Extra principal generally does not reduce the required monthly payment by itself. An eligible recast or refinance may be needed to change it.
Worked Example
Illustrative example only.
A $350,000, 30-year mortgage at 6.50% has estimated principal and interest of approximately $2,212 per month. If an additional $200 is applied to principal every month beginning with the first payment:
- Total monthly principal-and-interest payment: approximately $2,412
- Estimated payoff time: about 23 years and 10 months
- Estimated time saved: about 6 years and 2 months
- Estimated interest saved: approximately $108,100
Actual results depend on payment timing, the current balance and how the servicer applies additional funds.
Before Making Extra Payments
Consider emergency savings, higher-cost debts, retirement goals and whether the loan has any payment restrictions. The calculator shows mortgage math; it does not determine the best use of available cash for every borrower.
Review Your Payoff Strategy
Talk through the tradeoffs between extra payments, a possible recast and refinancing before changing your monthly plan.