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🏡Home Loans · True Cost · Equity

Home Loan Calculator

See the real cost of your home loan — the monthly payment, the total you'll pay over the life of the loan, and how your equity grows year by year. Defaults to the live 30-year rate.

Monthly paymentTrue lifetime costEquity build-up

At 6.7% (Q2 2026), a $400,000 home really costs about $823,360 over a 30-year loan — roughly $423,360 of it pure interest.

6.7%

current US 30-year fixed mortgage average — Freddie Mac via FRED (Q2 2026)

$823,360

true total cost of a $400,000 home, 20% down, at 6.7% over 30 years (Q2 2026)

106%

of the home's price is paid again in interest over a 30-year loan at today's rate

What your home loan really costs — and what you really own

Look past the monthly payment to the lifetime cost and the equity you build.

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The price is not the cost

A $400,000 home financed at 6.7% over 30 years really costs about $823,360 once interest is included — roughly $423,360 extra. Knowing the lifetime cost reframes the trade-offs between price, rate, term, and down payment.

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Equity builds slowly, then fast

Because early payments are mostly interest, ownership grows slowly at the start — it takes around 19 years to own half this home from a 20% down payment. The equity curve makes that S-shape visible and shows why early extra payments are so powerful.

Down payment and extra payments compound

More money down shrinks the loan and the interest on it; extra monthly payments cancel future interest and accelerate equity. Together they can turn a 30-year loan into full ownership years sooner — without changing your rate.

How the Home Loan Calculator Works

Formula

Loan Amount = Home Price − Down Payment Monthly P&I = L × r ÷ (1 − (1 + r)^−n) (r = rate/12, n = years × 12) Total of Payments = Monthly P&I × n True Total Cost = Down Payment + Total of Payments (= Price + Interest) Equity (year) = Home Price − Remaining Balance
1

Enter the home price

The purchase price you're financing.

2

Set your down payment

Day-one equity — and a smaller down payment means more interest.

3

Set rate and term

Rate defaults to the live 30-year average (6.7%, Q2 2026); use your quote.

4

Add optional extra payments

Straight to principal — builds equity and cuts interest fast.

5

See cost and equity

Monthly payment, true lifetime cost, and your equity curve over the years.

Buyers naturally focus on price and monthly payment, but the number that matters most over decades is the true total cost — price plus all the interest. At today's rates, interest can rival a large fraction of the home's price, which is why rate and term decisions are worth thousands.

Equity tells the other half of the story. Because amortization front-loads interest, ownership grows slowly at first and accelerates later. Seeing the equity curve — and how a bigger down payment or extra payments steepen it — makes the long-term payoff of those choices concrete.

Frequently Asked Questions