LendingCalculators

Mortgage payoff calculator: see your payoff date with extra payments

By , LendingCalculators

Free mortgage payoff calculator for homeowners: enter the balance from your statement and see how extra payments move your payoff date. No sign-up.

Your loan

From your statement, not the original loan amount.

From your statement or loan agreement.

What do you know?

Count the scheduled payments you have left.

Defaults to next month.

Each preset works out the extra monthly amount needed and fills it in below.

Extra payments

Applied to principal only.

Escrow and other monthly costs

Shown in your total payment. Not part of the loan balance, so they do not change your payoff date.

The lower of the purchase price and the appraisal when you bought. Used only to estimate when PMI can end.

Options
Payment schedule

Biweekly here means half the monthly payment every two weeks, which is 13 monthly payments a year.

Try the $300,000 exampleAdd $300 a monthPay it off in 15 years

Estimates only. Your lender's statement is the number that counts. Read how we calculate.

Mortgage payoff schedule

Schedule view

This tool starts from your current balance and your principal-and-interest payment. Taxes, insurance, and PMI can be shown in the total but do not change the payoff date.

On this page

How it works

How to use this calculator

Enter your current balance, rate, and either the years left or your principal-and-interest payment. Click a Pay off in 5, 10, or 15 years preset to fill in the extra needed, or type your own extra amounts. Add escrow items only if you want them in the total, and enter the original home value to see when PMI can end.

Enter the balance from your statement and either the years and months left or your principal-and-interest payment; the page derives the other with the standard amortization formula (Calculator.net mortgage payoff calculator, amortization schedule, Wikipedia). Escrow items are added to the displayed total payment only. They are collected with the loan, not part of it.

Each plan in the comparison reruns the same monthly loop from the same balance: interest on the opening balance, principal, then any extra. The Pay off in 5, 10, or 15 years presets solve for the payment that clears the balance in that many months, M = B × i ÷ (1 − (1 + i)−N), and fill in the extra needed so it shows up as a scenario.

PMI milestones. If you enter the home's original value, the page scans the schedule for the payment at which the balance reaches 80% of it (you can ask to cancel PMI) and 78% (the servicer must cancel automatically if you are current), and compares the second with the midpoint of the schedule, which is the final deadline. Those rules are described by the CFPB (CFPB, When can I remove PMI from my loan?); original value means the lower of the purchase price and the appraisal at purchase.

Biweekly means two different things. The version that saves money is accelerated biweekly: half your monthly payment every two weeks, which is 26 half-payments a year, or 13 monthly payments instead of 12. That is what this calculator models. A loan that simply splits the same annual total across 26 payments saves nothing. One more catch: some lenders hold a half payment until the second half arrives, which removes the benefit, so ask before you switch.

Sources

  1. Calculator.net mortgage payoff calculator
  2. amortization schedule, Wikipedia
  3. CFPB, When can I remove PMI from my loan?

Worked examples

A $300,000 balance at 6.5% with 27 years left, computed with this page's engine
PaymentPaymentsTotal interestInterest savedTime cut
Current plan$1,966.66324$337,199.43
Extra $300 a month$2,266.66234$229,527.89$107,671.5490 months (7 yrs 6 mo)
Pay off in 15 years$2,613.32 (+$646.66)180computed by the toolcomputed by the tool144 months
Pay off in 10 years$3,406.44 (+$1,439.78)120computed by the toolcomputed by the tool204 months
Pay off in 5 years$5,869.84 (+$3,903.18)60computed by the toolcomputed by the tool264 months

PMI example: a $400,000 home bought with 10% down ($360,000 loan at 6.5% for 30 years, payment $2,275.44) is scheduled to reach 80% of original value at payment 95, about 7.9 years, and 78% at payment 109, about 9.1 years. The midpoint of that schedule is payment 180.

Cedrick Reese built this calculator. The current-plan column uses the standard amortization formula, whose $250,000 base case matches figures published by several independent calculators to the cent, and the PMI cancellation milestones follow the rules described on the Consumer Financial Protection Bureau's site, linked above. The page uses no live rate data. If your servicer's figures differ by more than rounding, send the inputs through the contact page.

Last reviewed: .

FAQ

What is the 2% rule for mortgage payoff?

It is an informal refinancing rule of thumb, not a lender or legal rule: refinancing was said to be worth it when the new rate was about two points lower than your current one. Many lenders now call it outdated, because closing-cost options vary and a one-point drop can pay for itself depending on the balance. This page compares extra-payment plans on your own loan rather than applying any rule; the numbers are what they are.

How do I pay off a 30-year mortgage in 5 years?

Use the Pay off in 5 years preset. It works out the payment that clears your balance in 60 months and fills in the extra amount. On a $300,000 balance at 6.5%, that is about $5,870 a month, or $3,903 more than the scheduled payment. The preset shows the size of the commitment plainly; whether it fits your budget is a separate question.

How much does an extra principal payment reduce my mortgage?

On a $300,000 balance at 6.5% with 27 years left, $300 extra a month pays the loan off 90 months early, seven and a half years, and saves about $107,672 in interest. The exact figure depends on your balance, rate, and remaining term, which is why the table recomputes from your numbers rather than quoting a rule.

What is the formula for paying off a mortgage early?

There is no separate formula. The page uses the standard amortization loop: each month, interest is the balance times the monthly rate, principal is the payment minus that interest, and any extra you add reduces the balance further. Running that loop with the extra included gives the new payoff date, and the difference in total interest is the savings.

Should I include taxes, insurance, and PMI?

Enter them in the escrow section if you want to see your total monthly payment, but they do not change the payoff date. Escrow items are collected alongside the loan and paid out for you; they are not part of the balance. Only the principal-and-interest payment and any extra principal affect how fast the loan ends.

When can I stop paying PMI?

Under federal rules described by the CFPB, you can ask your servicer to cancel PMI when the balance is scheduled to reach 80% of the home's original value, and the servicer must cancel it automatically at 78% if you are current on payments, or at the midpoint of the loan's schedule if that comes first. Original value is the lower of the purchase price and the appraisal when you bought. Enter it in the escrow section to see the dates.

Does my lender apply extra payments to principal?

Usually only if you mark them that way. An unmarked extra amount may be treated as next month's payment or held. Choose the principal-only option in your servicer's app or write it on the payment, then check the next statement to confirm the balance fell by the full amount.

Is paying off a mortgage early always worth it?

Not always. A low fixed rate, a prepayment penalty, or a higher-return use for the money can each change the answer, and so can wanting the loan gone regardless. This page shows what the interest side of the decision is worth on your numbers. It does not make the decision, and it is not financial advice.