Whatโs included in this payment?
This is the principal & interest (P&I) portion โ the core loan repayment. Your full monthly housing cost also includes property tax, homeowners insurance, PMI (if your down payment is under 20%) and any HOA dues, which the lender collects in escrow.
15-year vs 30-year
A 15-year loan has a higher monthly payment but far less total interest and a lower rate. A 30-year loan keeps payments low and frees cash flow, at the cost of much more interest over time.
Frequently asked questions
Is property tax included?
No โ this shows principal & interest only. Add your local property tax and insurance for the full PITI payment.
How does the rate affect the payment?
Strongly. On a $350k 30-year loan, each 1% of rate changes the monthly payment by roughly $200+, and tens of thousands over the full term.