California Mortgage Calculator

Home price

Down payment

Length of loan

Interest rate

ZIP code

Monthly payment

$1,529/mo

Get pre-approved

Home price

$300,000

Monthly payment

$1,529/mo

Monthly payment breakdown

$1/mo

Principal & interest

$600

Property taxes

Homeowners insurance

HOA fees

Simple steps to get pre-approved

1

Share a few details

Tell us about your income, credit, and home goals—it takes as little as 3 minutes and won’t affect your credit score.

2

See your homebuying budget

In minutes, we’ll show you exactly how much you can get pre-approved for—so you know your price range before you shop.

3

Get your pre-approval letter

Download your letter instantly and start touring homes with confidence (and a stronger offer in hand).

Check your homebuying power

See what I qualify for

...in as little as 3 minutes –

no credit impact

California mortgage calculator with PMI & taxes

A mortgage calculator for home loans can show your true monthly housing costs before you commit to a home loan.

California home shoppers balance a lot of numbers: home prices, loan sizes, down payments, interest rates, property tax rates, mortgage insurance premiums, and so on.

A mortgage payment calculator shows how these variables come together to shape a home's monthly payment.

These tools are invaluable for comparing loan scenarios — and Better makes it easy by doing the heavy lifting for you. With access to an extensive network of investors, Better essentially “shops the market” on your behalf to find competitive rates, saving you the time and stress of lender-hunting. In fact, The Wall Street Journal named Better the Best Lender for Affordability in 2024.

How to find your payments with a mortgage calculator for home loans

Start with the total purchase price of the property you're considering. This number drives every other calculation in your mortgage scenario.

The home price, combined with the interest rate and loan term, set the context for your monthly mortgage payment. That's how to start, but there's more to consider.

For example, your down payment size will change the amount financed which changes the monthly payment amount. Typically, bigger down payments will lower monthly payments.

Then, there are property taxes and homeowners insurance premiums to add in. Private mortgage insurance (PMI) or FHA mortgage insurance premiums, also must be added to each payment.

How much should I enter for PMI, a property taxes, and homeowners insurance?

Homeowners insurance and property tax rates vary by property and location. Better's monthly mortgage calculator will use your ZIP code to estimate these fees, but your Realtor, or the home's seller, may have more precise numbers. If so, you can change the numbers in these blanks.

PMI on a conventional loan is more complicated. Down payment sizes, borrower credit scores, mortgage insurance providers, loan terms, and other factors influence annual PMI rates. A borrower who puts 20 percent down will not need PMI while one who pays the minimum 3 percent down will likely pay much higher PMI rates.

Mortgage insurance on FHA loans is more straightforward. Borrowers who put less than 10 percent down on a 30-year FHA loan pay 0.55 percent in annual mortgage insurance.

How loan terms affect monthly payments

Most homebuyers choose 15- or 30-year terms, though other options exist.

Loan terms have a big impact on monthly payments:

Shorter terms create higher monthly payments but charge less in total interest paid over the life of the loan.
Longer terms lower monthly payments but come with a higher overall cost throughout the life of the loan.

You could think of the loan's term as its schedule. Longer schedules stretch the debt across a longer period of time, lowering the amount due each month but giving the loan more time to charge interest.

Better offers both 15- and 30-year fixed-rate loans, so you can run the numbers side by side to see what aligns best with your goals.

Bringing it all together

After entering these details, you'll see your estimated monthly payment. Then you can adjust the different variables to see what it would take to lower your mortgage payment.

What you can do with this home payment calculator

Since a mortgage calculator for home loans can show how hypothetical numbers affect the reality of a monthly mortgage payment, they're a great way to see how different scenarios would impact your budget before applying for a loan.

Mortgage calculators for home loans provide a lab, a place to test scenarios and compare options before committing to a loan. For example, you can see how different down payments and different interest rates affect short-term and long-term costs.

The difference with Better: when you find a scenario that works for you, you can instantly start the application online and see personalized rates in minutes—without hidden fees or bait-and-switch tactics.

Calculate down payment

How much should you spend on the down payment? Adjust the down payment variable in the mortgage payment calculator and watch how it impacts your monthly payment and private mortgage insurance (PMI) premiums.

Some buyers want to reach the 20 percent down threshold so they can avoid adding PMI to their monthly payment. Others would rather make the minimum conventional loan down payment to get into a home sooner.

With Better's Mortgage Calculator, you’ll see how each option plays out in real time—so you can make a confident choice that fits your budget.

Calculate mortgage rates

Mortgage rates affect monthly payments and long-term interest costs. You can see the impact of interest rates when you calculate mortgage payment scena. You'll probably notice that small percentage changes in interest rates can cause huge differences in both monthly payments and total interest costs over your loan's lifetime.

You can't choose your own interest rate, but you can influence it. Increasing your credit score, making a large down payment, and getting the loan type that best matches your needs can help borrowers qualify for a lower interest rate. Home buyers can also pay discount points upfront in exchange for a lower rate.

Better's wide network of investors allows us to deliver competitive rates without you having to shop multiple lenders.

Test mortgage options

The real power comes from comparing various types of mortgage loans and terms. Borrowers should run scenarios for 15-year versus 30-year mortgages, or compare how an adjustable-rate mortgage might affect your monthly mortgage payment against fixed-rate alternatives.

These comparisons reveal which loan structure aligns with your financial goals and show practical ways to lower your mortgage payment.

You might discover that a 15-year loan costs only $200 more monthly than a 30-year term while saving $150,000 in total interest—or that the extra payment flexibility of a 30-year loan better fits your budget.

What does a mortgage payment in California include?

Your monthly mortgage payment covers more than just the loan itself. Each component plays a specific role in homeownership costs, and understanding these pieces explains why your actual payment often exceeds the principal and interest amount. Our simple mortgage payment calculator lets you see the full picture upfront—principal, interest, taxes, insurance, and PMI—so there are no surprises later.

Principal and interest

Principal and interest form the core of every mortgage payment. Principal chips away at your loan balance, while interest compensates the lender. Early in your loan term, most of your payment goes toward interest, but this balance shifts over time as shown in an amortization schedule.

Taxes and insurance

Most lenders also require an escrow account to collect property taxes and homeowners insurance alongside your monthly payment. Property taxes vary dramatically by location and property value—expect anywhere from 0.5% to 2.5% of your home's assessed value annually. A $500,000 home might carry $2,500 to $12,500 in annual property taxes, depending on your area.

Homeowners insurance typically costs $1,000 to $2,000 yearly, protecting against structural damage and liability claims. Your lender requires this coverage to protect their investment in your property.

Private Mortgage Insurance (PMI)

PMI adds another layer of cost if your down payment is less than 20 percent. Understanding what PMI is helps you plan for this expense, which typically ranges from 0.3% to 1.5% of your loan amount annually. On a $400,000 loan, that translates to $100 to $500 monthly.

These components combine to create your total monthly housing obligation. A $400,000 loan at 6.5% might require $2,528 for principal and interest, but add property taxes ($800), homeowners insurance ($150), and PMI ($300), and your actual payment reaches $3,778.

Looking to reduce these costs? Explore ways to lower your mortgage payment or compare different types of mortgage loans to find better terms for your situation.

Mortgage payment formula for California

How to lower monthly mortgage payments

Types of mortgage loans

Different mortgage loan types offer different strengths and weaknesses for borrowers. Understanding these differences helps evaluate which loan type aligns with your financial situation and payment goals.

Conventional loans are the most common choice, requiring as little as 3 percent down. Not every borrower will qualify for such a small down payment with a conventional loan. Or if they do, PMI will cost more, increasing the monthly payment.

Borrowers who can't get an affordable conventional loan should look into government-backed loan programs:

FHA loans: Offer low down payments (3.5 percent minimum) even when borrowers have average credit scores. These loans usually require mandatory mortgage insurance throughout the loan term.
VA loans: Offer veterans and active duty military members competitive rates with no down payment or PMI required.

Better offers conventional, FHA, VA, and jumbo loans—all with a streamlined digital process designed to close faster and no hidden fees or sneaky sales tactics.

Fixed rate vs adjustable rate loans

Rate structures create another important distinction.

Fixed-rate mortgages keep the same interest rate throughout the loan term, allowing principal and interest payments that never change. (Taxes and insurance portions of the payment can and likely will change over time.)
Adjustable-rate mortgages (ARMs) start with a lower initial rate, but then that rate adjusts after the initial rate period expires. The rate could increase or decrease, depending on market conditions when the rate changes. ARMs can make it hard to budget for monthly mortgage payments.

Better offers both fixed-rate and adjustable-rate mortgages, giving you flexibility to choose stability or lower upfront costs, depending on your needs.

What other mortgage loan types are there?

Jumbo loans exceed conforming loan limits, allowing borrowers to buy high-value real estate. These loans typically require higher credit scores and larger down payments.

Each loan type produces different results when you run the numbers. For example, a VA loan eliminates both down payment and PMI costs, while an ARM might show lower initial payments that increase over time.

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Expert opinions

Check the transfer taxes

Make sure the calculator takes the correct transfer taxes that are paid traditionally in the state so the cash to close doesn't look much higher than another's.

Jeffrey Fenkell

Loan Consultant

NMLS #1914136

Should I wait for mortgage rates to drop?

Buying now locks in today's prices with the option to refinance later, while waiting could mean a lower rate but higher home costs. The best choice is the one that keeps your budget and long-term goals on track.

River Robertson

Loan Consultant

NMLS #1698258

Beyond rates, what costs should buyers evaluate?

Aside from rates homebuyers also need to consider the overall lender specific closing costs, origination fees as well as non-cost specific items that are important like service and closing speed.

Libby Owens

Senior Loan Consultant

NMLS #2089666

California mortgage calculator FAQs

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Mortgage Calculator is for estimation purposes only. Real payments will vary and may include (but are not limited to) the following fees: home insurance, HOA payments, taxes, regional fees, etc. All calculations assume eligibility for the selected loan. This is not a commitment to lend.

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Simple steps to get pre-approved