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Mortgage Amortization Calculator — See Where Every Dollar Goes

Estimate how a fixed-rate mortgage payment divides between principal and interest and how entered extra principal changes the timeline.

Quick answer: Mortgage amortization shows how each payment splits between interest and principal over time. Early payments are interest-heavy; later payments build equity faster.

Monthly Payment
$2,328
Monthly Payment
$2,328
Estimated Payoff Time
360 months
Year 1 Interest Paid
$24,075
Total Interest Paid
$478,000
Total Amount Paid
$838,000
Balance After 5 Years
$337,840
Balance After 10 Years
$306,859
Diagnostic

On a $360,000 loan at 6.72% over 30 years, you pay $478,000 in interest — $24,075 in year 1 alone.

In the early years, most of your payment goes to interest. Extra principal payments early in the loan have an outsized impact on total cost. Even $100/month extra can save tens of thousands.

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What to do next

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Your action plan
  1. 1

    Calculate the baseline result with your current numbers

    Estimate declining-balance mortgage interest, balances, and payoff effects from an entered extra principal payment.

  2. 2

    Compare the result against current market-rate options

    Assumptions change the answer, especially when rates, taxes, or timing matter.

  3. 3

    Save the result to Money Map or use the linked next action

    Turn the result into a prioritized action instead of treating it as a one-off number.

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This is an educational estimate, not tax, legal, investment, or lending advice. Tax rules, rates, and eligibility change and depend on your full situation. Confirm with a qualified professional or the provider before acting.

Calculator action path

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About mortgage rates

Mortgage rates depend on loan type (30-yr fixed, 15-yr fixed, ARM, FHA, VA, jumbo), your credit score, down payment, points paid, loan amount, property state, and whether you're purchasing or refinancing. The calculator above uses a representative market rate for payment estimates — your actual rate will vary.

For a personalized rate comparison, use the tool below to see lenders ranked by APR, loan type, and your profile.

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30-yr fixed · 15-yr fixed · FHA · VA · ARM — ranked by APR
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Mortgage rates shown on SwitchWize compare pages include loan type, assumed FICO, LTV, and points. Representative only — verify all terms directly with the lender. Advertising disclosure

Frequently Asked Questions

Everything you need to know.

Why does so much of my early payment go to interest?
Each month's interest is calculated on the remaining balance. In year 1 your balance is at maximum, so the interest portion is enormous. As you pay down principal, the interest portion shrinks and more of each payment goes to principal. This is called amortization — payments stay flat but the split between interest and principal flips over time.
When does the principal-to-interest ratio flip?
On a standard 30-year fixed at 7%, you cross over to paying more principal than interest around year 19. On a 15-year fixed at the same rate, the crossover happens around year 8. The faster the term and lower the rate, the earlier the crossover.
How can I pay less interest overall?
Three levers: a shorter term (15 vs 30 saves enormous interest), a lower rate (refinance when rates drop 0.75%+), or extra principal payments (even an extra $200/month on a $400K loan can save $80K+ in interest and shave 5+ years).
Is the Mortgage Amortization Calculator — See Where Every Dollar Goes free to use?
Yes. SwitchWize calculators are free, and you do not need an account to run scenarios or view the result.
Does using the Mortgage Amortization Calculator — See Where Every Dollar Goes affect my credit score?
No. Using a calculator does not trigger a credit check. A credit impact can occur only if you apply directly with a lender, card issuer, or provider.
Are the results personalized financial advice?
No. Calculator outputs are educational estimates based on the inputs you enter. Review assumptions and confirm terms directly with providers before making a financial decision.
What should I do after seeing the result?
Use the recommendation module on this page to compare mortgage rates, or run Money Map to compare this home & mortgage decision with your other opportunities.
How does SwitchWize choose related offers?
Related offers are matched by the calculator surface (mortgage) and ranked using SwitchWize data such as rate, fees, trust signals, product fit, and switching friction. Paid relationships do not change organic ranking order.
How fresh are the rates and offers shown?
Rate and offer data is reviewed on a recurring cadence and every offer module shows review context or links to the methodology and disclosure pages.
Where can I see the ranking methodology?
The SwitchWize methodology page explains how rate freshness, editorial review, affiliate disclosure, and category ranking factors work.
Can Money Map use this result?
Yes. Money Map is the broader diagnostic path: it compares savings, mortgage, cards, and debt so you can see whether this calculator result is your highest-impact next move.

Why This Matters

Interest is calculated from the declining balance, so early payments are more interest-heavy. The result depends on the entered contractual rate, term, and extra payment rather than a universal year-by-year percentage.

How to Use It

  1. 1Enter the loan amount
  2. 2Enter the contractual interest rate
  3. 3Choose the term and optional monthly extra principal
  4. 4Review estimated first-year interest, balance milestones, payoff time, and total interest
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Mortgage Amortization Calculator — See Where Every Dollar Goes | SwitchWize