Enter the home price, your down payment, a sample rate and the term. You will see the payment, total interest and whether the payment is reasonable for your income.
The preloaded values are an example: replace them with your own figures.
Estimated monthly payment
With these figures, for a home of $80.000,00 with 20% down ($16,000.00), you would finance $64.000,00 and pay about $617,61 a month for 20 years.
Principal vs. interest by year
At first most of the payment goes to interest; over the years, the share of principal grows (French method).
| Year | Paid during the year | Principal | Interest | Balance |
|---|---|---|---|---|
| Year 1 | $7.411,37 | $1.059,03 | $6.352,33 | $62.940,97 |
| Year 2 | $7.411,37 | $1.169,93 | $6.241,44 | $61.771,04 |
| Year 3 | $7.411,37 | $1.292,43 | $6.118,93 | $60.478,61 |
| Year 4 | $7.411,37 | $1.427,77 | $5.983,60 | $59.050,84 |
| Year 5 | $7.411,37 | $1.577,27 | $5.834,09 | $57.473,56 |
| Year 6 | $7.411,37 | $1.742,44 | $5.668,93 | $55.731,13 |
| Year 7 | $7.411,37 | $1.924,89 | $5.486,47 | $53.806,24 |
| Year 8 | $7.411,37 | $2.126,45 | $5.284,91 | $51.679,78 |
| Year 9 | $7.411,37 | $2.349,12 | $5.062,25 | $49.330,66 |
| Year 10 | $7.411,37 | $2.595,10 | $4.816,26 | $46.735,56 |
| Year 11 | $7.411,37 | $2.866,85 | $4.544,52 | $43.868,71 |
| Year 12 | $7.411,37 | $3.167,04 | $4.244,32 | $40.701,67 |
| Year 13 | $7.411,37 | $3.498,67 | $3.912,69 | $37.203,00 |
| Year 14 | $7.411,37 | $3.865,03 | $3.546,34 | $33.337,97 |
| Year 15 | $7.411,37 | $4.269,75 | $3.141,62 | $29.068,22 |
| Year 16 | $7.411,37 | $4.716,85 | $2.694,52 | $24.351,38 |
| Year 17 | $7.411,37 | $5.210,76 | $2.200,60 | $19.140,62 |
| Year 18 | $7.411,37 | $5.756,40 | $1.654,97 | $13.384,22 |
| Year 19 | $7.411,37 | $6.359,17 | $1.052,20 | $7.025,05 |
| Year 20 | $7.411,37 | $7.025,05 | $386,31 | $0,00 |
Results are for reference only and are not actual figures. Values depend on the country, the financial institution, taxes and current laws, and must be validated with an authorized financial institution. Banco.guru is an educational guide to what can be achieved; it does not offer products or personalized financial advice.
Tips for using this result
- A larger down payment reduces the amount financed and the interest over the whole term.
- When planning, add mandatory insurance and closing costs to the payment.
- Compare 15, 20 and 25 years: the payment goes down, but interest goes up a lot.
- Also see fixed vs. variable rate before choosing.
How does a mortgage work?
A mortgage or home loan is a long-term loan to buy a home, in which the property serves as collateral. You make a down payment and finance the rest in monthly payments over many years. Because of the long term, small differences in the rate turn into large differences in total interest.
What does this simulator calculate?
- Amount financed: price − down payment.
- Monthly payment with the French method (fixed payment), plus any insurance or fees you enter.
- Total interest and total paid over the term.
- Burden on your income: what percentage of your net income would go to the payment, with a reference traffic light.
- Annual table of principal, interest and balance.
What percentage of income should the payment be?
Many guides use as a benchmark that the housing payment should not exceed roughly 30% of net income, and that total debt should not go above about 35–40%. It is not a legal or universal rule: each institution applies its own policies, and your situation (dependents, other expenses, job stability) matters more.
Costs you don’t always see
Besides the payment, there are upfront costs (appraisal, notary, registration, transfer taxes), mandatory insurance and, in some cases, fees. Ask the institution for the total cost of credit and the official amortization schedule. If you have questions about the concepts, see our guide on mortgages: the basics before you sign.
How to use the result
Try scenarios: a larger down payment, a different term, a rate a couple of points higher. If the payment only fits in the best-case scenario, the plan is fragile. And before committing, compare it with continuing to rent using our guide buying or renting a home.
Frequently asked questions
How much of a down payment do I need for a mortgage?
It depends on the country, the institution and the type of loan. Many lenders finance only part of the value, so a significant down payment is usually required. Check the official terms.
Is a 15-year or a 25-year mortgage better?
At 15 years the payment is higher but you pay much less interest; at 25 years the payment is lower but the total cost goes up. Choose the payment you can sustain with room to spare.
Does the simulator include insurance and taxes?
Only if you enter them in the insurance and fees field. Upfront purchase costs are not included.
Can I trust the income traffic light?
It is an educational reference based on general guidelines, not a loan approval or personalized advice.
Keep learning at banco.guru
Other loan and mortgage tools
See all tools →Última revisión: · Información referencial; valida tu caso con una institución financiera.