Mortgage Payoff Calculator
Enter your balance, rate and years left, then add an extra monthly payment to see how much sooner you pay off your mortgage and how much interest you save.
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Estimate the payoff date and interest savings when you pay extra on a fixed-rate mortgage.
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How extra payments pay off a mortgage early
Each mortgage payment covers the interest for the month and the rest reduces your balance. Early in the loan most of the payment is interest, so extra money sent straight to principal works hard: it lowers the balance that interest is charged on for every remaining month. This calculator keeps your regular payment the same and adds your extra amount every month until the balance reaches zero. It covers principal and interest only, not property tax, insurance or PMI.
Example: $250,000 at 6.5% with 28 years left
The regular payment is about $1,618 a month, and keeping the schedule costs about $293,494 in interest.
| Extra per month | Paid off in | Time saved | Interest saved |
|---|---|---|---|
| $100 | 24 y 0 m | 4 y 0 m | $49,659 |
| $200 | 21 y 1 m | 6 y 11 m | $83,660 |
| $500 | 15 y 9 m | 12 y 3 m | $143,562 |
Tips for paying off your mortgage faster
- Tell your lender to apply extra money to principal. Otherwise it may be held for the next installment.
- Make one extra payment a year (about one-twelfth more each month) with a bonus or tax refund.
- Check for prepayment penalties in your loan terms before paying extra.
- Compare with other goals: high-interest debt or an emergency fund may deserve the money first.
Figures are estimates for a fixed-rate mortgage; your lender’s statement is what counts. This is not financial advice. See also the mortgage calculator and the refinance break-even calculator.
How to use the mortgage payoff calculator
- Enter your current mortgage balance, interest rate and the years remaining.
- Enter how much extra you could pay each month.
- Read how much sooner the loan is paid off and how much interest you save.
Frequently asked questions
How much does an extra $200 a month save on a mortgage?
On a $250,000 loan at 6.5% with 28 years left, +$200 a month pays the loan off about 6 years and 11 months sooner and saves about $83,660 in interest. Enter your own numbers above.
Do extra payments go to principal automatically?
Not always. Some servicers apply extra money to the next installment unless you specify principal-only, so check your servicer’s instructions.
Is it better to pay extra on the mortgage or invest?
It depends on your interest rate, your other debts and your goals. Paying extra gives a guaranteed return equal to your mortgage rate; investing may earn more but carries risk.
Does this include property tax and insurance?
No. It models principal and interest only. Taxes, insurance and PMI are paid on top and do not change the payoff time.
Are there penalties for paying off a mortgage early?
Most modern mortgages have none, but some loans do. Check your loan agreement or ask your servicer.
Related tools: Mortgage calculator · Refinance break-even · Amortization calculator