Real Estate Calculator
This real estate calculator brings together the three numbers that decide what a home purchase really costs you: the upfront closing costs, the monthly mortgage payment on the financed balance, and the grand total you will have paid by the end of the loan. You enter the purchase price, your down payment in dollars, the interest rate, the loan term, and a closing-cost percentage, and it sizes each piece. It is aimed at buyers who want a single all-in view rather than just a monthly payment.
Formula
Closing = Price × c%; M = (Price − Down) · r(1+r)^n/((1+r)^n−1); Total = M·n + Down + Closing
- Price
- Purchase price of the property
- Down
- Down payment in dollars
- c%
- Closing cost percentage of the purchase price
- r
- Monthly rate = annual rate ÷ 12 ÷ 100
- n
- Number of payments = term years × 12
How it works
- Enter the Purchase Price and your Down Payment in dollars; the difference is the loan amount that gets financed.
- Set the Interest Rate slider (0%-15% in 0.125% steps), pick a Loan Term (10-30 years in 5-year steps), and set the Closing Cost % slider (1%-6% in 0.5% steps).
- The tool computes closing costs as price times the closing percentage, the monthly payment from the standard mortgage formula, and a Total Cost equal to all monthly payments plus your down payment plus closing costs.
Worked example
A $400,000 home with $80,000 down at 6% over 30 years and a 3% closing-cost rate.
- Closing costs = 400,000 × 3% = $12,000.
- Loan amount = 400,000 − 80,000 = $320,000; r = 0.005, n = 360, giving M = $1,918.56.
- Total cost = 1,918.56 × 360 + 80,000 + 12,000 = 690,682.20 + 92,000 = $782,682.20.
Closing costs $12,000, monthly payment $1,918.56, and a total cost of about $782,682.20 over the life of the loan.
Frequently asked questions
- What is included in closing costs here?
- The tool applies a single percentage to the purchase price as a lump estimate of fees such as loan origination, title, appraisal, and recording. Real closing costs vary by location and lender, so adjust the percentage if you have an itemized estimate.
- Does the total cost include property tax and insurance?
- No. The Total Cost sums your mortgage payments, down payment, and closing costs only. Ongoing property taxes, homeowners insurance, PMI, and maintenance are excluded and should be budgeted separately.
- Why is the total cost so much higher than the price?
- Most of the gap is interest. Financing $320,000 over 30 years adds roughly $370,000 in interest, which is why the all-in total far exceeds the sticker price even before closing costs and the down payment are added.
- How does a bigger down payment affect the result?
- A larger down payment shrinks the financed loan amount, which lowers the monthly payment and the lifetime interest. Closing costs, which are based on the purchase price, do not change.