📊 Mortgage Amortization Calculator
See exactly how much of a given payment goes toward principal versus interest, and what your remaining balance will be at that point in the loan.
What Is Amortization?
Amortization is the process of paying off a loan through regular fixed payments, where each payment is split between interest owed and principal repayment. Early in the loan, most of each payment goes to interest; over time, more of each payment reduces the principal.
The Formula
The calculator first finds the fixed monthly payment using M = P × [r(1+r)^n] / [(1+r)^n – 1]. It then walks through the amortization schedule month by month up to the payment number you choose, calculating interest as the current balance times the monthly rate, and principal as the remainder of the payment, to show the exact split and remaining balance at that point.
This tool is for general planning and educational purposes. It assumes a fixed rate and no extra payments; a real amortization schedule may differ slightly due to rounding, escrow adjustments, or rate changes on adjustable loans.