Calculate your true monthly cost including PMI, taxes, and HOA — plus AI analysis of your rate.
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Example lender profiles matched to your credit tier. We'll show real partner offers here as they become available.
Rate ranges reflect typical market data; see our methodology for sources.
Rates shown are illustrative ranges for the selected credit profile as of 2026. Actual rates depend on your full application, property type, and lender criteria. This is not financial advice.
This analysis is based on the figures you entered and is for informational purposes only. Rate ranges are illustrative. RateCompas is not a lender, broker, credit counselor, or financial advisor, and may receive compensation from lenders featured on our site. Consult a licensed professional before making borrowing decisions.
A common rule of thumb is the 28/36 rule: housing costs should not exceed 28% of your gross monthly income, and total debt payments should not exceed 36%. The calculator factors in principal, interest, taxes, insurance, PMI, and HOA so you see the true monthly cost, not just the principal and interest.
Private Mortgage Insurance (PMI) is required when your down payment is less than 20% on a conventional loan. It typically costs 0.5-1.5% of the loan amount annually. PMI drops off automatically once your loan-to-value ratio reaches 78%, or you can request removal at 80%.
Putting 20% down eliminates PMI and reduces total interest paid, but it also delays purchase and may mean missing out on home price appreciation. The right choice depends on your down payment savings, the local market, and how long you plan to stay in the home.
Most lenders require property taxes to be escrowed, meaning 1/12 of your annual tax bill is added to each monthly payment. On a $400,000 home in a 1.2% property tax state, that is $400/month added to your housing cost.
A 15-year mortgage typically has a lower interest rate and saves tens of thousands in total interest, but the monthly payment is significantly higher. A 30-year mortgage has a lower monthly payment but you pay roughly twice the total interest over the life of the loan.
The rates shown are from Freddie Mac's weekly Primary Mortgage Market Survey, which tracks average 30-year fixed rates nationwide. Your actual rate will vary based on your credit score, loan-to-value ratio, and the specific lender you choose.