Free Minneapolis, MN Home Mortgage Loan Calculator
Minneapolis, MN Mortgage Calculator
By SoFi Editors | Updated October 23, 2025
Our Minneapolis, Minnesota mortgage calculator helps potential homebuyers determine their monthly mortgage payments and total loan cost. By inputting the purchase price of the home, down payment amount, interest rate, loan term, and property tax rate, you can see exactly what your monthly mortgage payment will be, in addition to the total interest paid and total loan cost. Here’s our complete guide on how to use the calculator.
Key Points
• A Minneapolis mortgage calculator estimates monthly payments, total interest paid, and total cost of the loan.
• The calculator can help you estimate the impact of different down payments, interest rates, and loan terms on your monthly payments and overall loan cost.
• The loan term, typically 15 or 30 years, significantly impacts your monthly payments and total interest paid, with shorter terms leading to higher payments but less interest over time.
• The 28/36 rule, a guideline for mortgage affordability, suggests that your mortgage payment should not exceed 28% of your gross monthly income, and your total debt payments should not exceed 36%.
• Down payment assistance programs in Minneapolis can help first-time homebuyers and those with limited savings reduce the initial financial burden and secure better loan terms.
Minneapolis Mortgage Calculator
Calculator Definitions
• Home price: The home price is the purchase price you have agreed to with the home seller. This figure directly affects your down payment, home loan amount, and monthly mortgage payments.
• Down payment: The down payment is the amount the homebuyer pays upfront, often expressed as a percentage of the total purchase price. Most buyers put down between 3% and 20%, with a 20% down payment typically avoiding the need for private mortgage insurance (PMI).
• Loan term: The loan term is the length of time you have to repay the mortgage. A shorter term, such as 15 years, can result in higher monthly payments but significantly less interest paid over the life of the loan. A longer term, like 30 years, offers lower monthly payments but higher total interest costs.
• Interest rate: The interest rate is the cost of borrowing money, expressed as a percentage of the loan amount. Interest rates can vary based on market trends, borrower qualifications, and the type of mortgage loan. A higher credit score and a larger down payment can often secure a lower interest rate, reducing your monthly payments and the total interest paid over the life of the loan.
• Annual property tax: The annual property tax is a component of your monthly mortgage payment. In Minneapolis, property taxes are typically around 1.15% of the home’s assessed value.
• Total monthly payment: The total monthly payment includes the principal and interest you will pay each month. This calculator also includes property tax. Other costs that may be rolled into a housing payment include homeowners insurance, private mortgage insurance, and homeowners association (HOA) fees.
• Total interest paid: The total interest paid is the amount of interest you will pay over the life of the loan. This figure can be substantial, especially for 30-year loan terms. A lower interest rate or a shorter loan term can significantly reduce the total interest, making homeownership more affordable in the long run.
• Total loan cost: The total loan cost is the all-in amount you will pay for the loan, including principal and interest. This figure helps homebuyers understand the true cost of homeownership.
How to Use the Minneapolis, MN Mortgage Calculator
Using the Minneapolis mortgage calculator is straightforward and can provide valuable insights into your home-buying budget. Here’s a step-by-step guide on how to use it:
Step 1: Enter Your Home Price
Enter the amount you will pay the seller for the property, which will directly impact your home loan amount and monthly payment.
Step 2: Select a Down Payment Amount
The down payment is the portion you pay upfront for the home. A down payment calculator can help you decide on your number.
Step 3: Choose a Loan Term
Select the duration over which you will repay your mortgage. Most consumers choose a mortgage with either a 30-year or a 15-year term.
Step 4: Enter an Interest Rate
Input the interest rate you think you might qualify for to the second or third decimal point. A lower interest rate can significantly reduce your monthly payments and total loan cost. If you’re looking at large loan amounts (over $800K), you’ll want to look at rates for jumbo loans.
Step 5: Add Your Annual Property Tax Rate
Property taxes are what you will pay each year to the local government. Enter the property tax percentage, not the dollar amount. The Hennepin County (Minneapolis) property tax rate is 1.15% of the home’s assessed value.
Benefits of Using a Mortgage Payment Calculator
A mortgage calculator has many benefits, including helping you assess affordability before house hunting. It estimates monthly payments based on loan amount, interest rate, and term. You can compare scenarios like interest rate changes and the impact of different down payments to help you realistically decide what you can afford.
Mortgage calculators are also particularly useful for first-time homebuyers who may not be aware of all that goes into a mortgage payment and how that payment is determined. Keep in mind, though, that the calculator is designed for fixed-rate mortgages. If you choose a loan with a variable rate, your payment will not remain the same throughout the life of the loan.
By using a mortgage payment calculator, you can set realistic savings goals, plan your budget effectively, and ensure that your home purchase is financially feasible.
Recommended: Best Places to Live in Minnesota
Deciding How Much House You Can Afford in Minneapolis
In 2025, Minneapolis’ median home sale price was $353,000. Lenders advise keeping housing costs (mortgage, taxes, insurance, fees) below 28% of gross monthly income. Affording a $353,000 home requires approximately $80,000 in annual income with a 20% down payment, or $70,600, assuming a 7.00%, 30-year mortgage. The monthly mortgage would be $1,879.
Total debt should be within 36% of income, allowing for $530 in other monthly debts (student loans, auto loans, and credit cards). Use a home affordability calculator for a rough estimate based on income and debt obligations.
It can be useful to go through the mortgage preapproval process with a potential lender to get a clear picture of how much of a loan you can afford.
Current mortgage rates by state.
Compare current home interest rates by state and find a mortgage rate that suits your financial goals.
Select a state to view current rates:
Components of a Mortgage Payment
The main components of a mortgage payment include the principal and interest. Our Minneapolis mortgage calculator also factors in property tax, which is typically a percentage of the home’s assessed value.
Other components of a mortgage payment may include:
• Homeowners insurance: Protection against damage to your home and personal property.
• Private mortgage insurance (PMI): Required if your down payment is less than 20% of the home’s value.
• HOA fees: Monthly or annual fees paid to a homeowners association for maintenance and management of common areas and amenities in a community.
If you’re considering an FHA loan, you may want to use an FHA mortgage calculator, which allows for that kind of loan’s mortgage insurance premiums.
Likewise, a VA mortgage calculator can be helpful if you’re looking at a loan backed by the U.S. Department of Veterans Affairs.
Cost of Living in Minneapolis, MN
Minneapolis’ cost of living is just under 6% of the national average, with housing being nearly 18% below the national average. The only area that is above the national average, according to COLI 2024 Annual Average Data, is groceries.
Cost of living is benchmarked at 100. It measures the relative price of goods and services in different locations to help compare how expensive it is to live in one area versus another. In Minneapolis, the cost of living index is 93.6. Here’s how Minneapolis compares to the national average in other areas:
| Minneapolis’ Cost-of-Living Stats | |
|---|---|
| Overall Cost of Living | 93.6 |
| Groceries | 102.6 |
| Housing | 82.8 |
| Utilities | 96.8 |
| Transportation | 96.2 |
| Health Care | 96.3 |
| Miscellaneous Goods/Services | 96.6 |
Overall, Minneapolis is an affordable area to live as a single adult or if you’re raising a family. There are plenty of areas and neighborhoods that should fit your lifestyle and budget.
Recommended: Average Monthly Expenses for One Person
Run the numbers on your home loan.
-
Mortgage calculator
Punch in your home loan amount and a new interest rate, and we’ll estimate your payoff date.
-
Down payment calculator
Enter a few details about your home loan and we’ll provide your monthly mortgage payment.
-
Home affordability calculator
Provide us with a few details and see how much you can afford to spend on a home purchase.
Using the free calculators is for informational purposes only, does not constitute an offer to receive a loan, and will not solicit a loan offer. Any payments shown depend on the accuracy of the information provided.
Minneapolis’s First-Time Homebuyer Assistance Programs
If you’re considering buying your first home in Minneapolis, there are several Minnesota down payment assistance programs available to help you cover the initial costs associated with homeownership. These programs can provide financial aid specifically designated for the down payment, closing costs, or potentially both. To qualify for these valuable resources, you typically must not have owned a primary residence within the past three years.
Recommended: Do You Qualify as a First-Time Homebuyer?
Tips on Reducing Your Mortgage Payment
Reducing your mortgage payment can make homeownership more manageable over time. Here are several ways to lower your monthly mortgage costs:
• Drop private mortgage insurance (PMI) once you reach 20% equity in your home. This can be achieved through making regular mortgage payments over time or through home appreciation, which increases your equity. Once you achieve this level of equity, you can formally request to remove the PMI from your loan, which can significantly lower your monthly mortgage payment.
• If you receive a bonus or other windfall, consider mortgage recasting. This involves making a lump sum payment toward your mortgage principal, which your lender will then re-amortize with the same interest rate and term. The result is a new, smaller balance that translates to lower monthly payments and can help you save on interest over the life of the loan.
• Extend the term of your loan to reduce monthly payments. For instance, if you originally had a 15-year mortgage, refinancing your mortgage to a 30-year loan term can significantly lower your monthly payments. However, this strategy comes with a trade-off: you’ll pay more in interest over the life of the loan.
• Appeal your property taxes if you believe your assessment is too high. Start by reviewing your annual property tax assessment to identify any discrepancies. While rare, a successful appeal can reduce your property tax bill, lowering your overall monthly mortgage payment.
• Shop for a lower homeowners insurance rate. By comparing quotes from different insurers, you can potentially save hundreds of dollars each year. A lower homeowners insurance rate can make a noticeable difference in your overall monthly costs.
The Takeaway
A Minneapolis mortgage calculator can offer valuable insights into determining your home-buying budget. It helps you estimate your monthly payments, understand total costs involved, and see the impact of different down payments and loan terms on your overall financial picture. Simply enter in the purchase price, down payment amount, interest rate, loan term, and property tax rate to view your results.
Looking for an affordable option for a home mortgage loan? SoFi can help: We offer low down payments (as little as 3% - 5%*) with our competitive and flexible home mortgage loans. Plus, applying is extra convenient: It's online, with access to one-on-one help.
FAQ
How much is the average mortgage in Minneapolis?
In 2025, the average mortgage in Minneapolis was $2,460. Mortgage payments for the same priced home can vary based on down payment and interest rate. Using a Minneapolis mortgage calculator can help you estimate your specific monthly payment.
How does my credit score affect my mortgage loan interest rate?
Your credit score plays a significant role in determining your interest rate for a mortgage loan. A higher credit score can secure a lower interest rate, reducing your monthly payments and the total cost of the loan. A lower credit score may result in a higher interest rate, making the mortgage more expensive. Lenders use your credit score to assess your risk, so building your score can lead to better loan terms and savings over the life of the mortgage.
What are principal and interest on a mortgage loan?
The principal is the amount you borrow to purchase the home, while the interest is the cost of borrowing that principal. In the early years of your mortgage, a larger portion of your payment goes toward interest, but over time, more of it pays down the principal. Understanding this breakdown can help you make informed decisions about prepayments and refinancing to optimize your financial strategy.
Should I choose a 30-year or 15-year mortgage term?
When choosing between a 30-year and 15-year mortgage, weigh your finances. A 30-year term offers lower payments but higher overall interest. A 15-year term has higher payments but saves on interest and builds equity faster. If you can afford it, a 15-year mortgage is better for long-term savings. If you need budget flexibility, a 30-year mortgage provides breathing room while achieving homeownership.
How much is a $600,000 mortgage payment for 30 years?
For a 30-year fixed mortgage at a 7.00% interest rate, the monthly payment on a $600,000 home loan would be approximately $3,992. For a $600,000 home with 20% down ($120,000), the payment would be $3,193, assuming other variables remain the same.
SoFi Mortgages
Terms, conditions, and state restrictions apply. Not all products are available in all states. See SoFi.com/eligibility-criteria for more information.
SoFi Loan Products
SoFi loans are originated by SoFi Bank, N.A., NMLS #696891 (Member FDIC). For additional product-specific legal and licensing information, see SoFi.com/legal. Equal Housing Lender.
*SoFi requires Private Mortgage Insurance (PMI) for conforming home loans with a loan-to-value (LTV) ratio greater than 80%. As little as 3% down payments are for qualifying first-time homebuyers only. 5% minimum applies to other borrowers. Other loan types may require different fees or insurance (e.g., VA funding fee, FHA Mortgage Insurance Premiums, etc.). Loan requirements may vary depending on your down payment amount, and minimum down payment varies by loan type.
Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.
¹FHA loans are subject to unique terms and conditions established by FHA and SoFi. Ask your SoFi loan officer for details about eligibility, documentation, and other requirements. FHA loans require an Upfront Mortgage Insurance Premium (UFMIP), which may be financed or paid at closing, in addition to monthly Mortgage Insurance Premiums (MIP). Maximum loan amounts vary by county. The minimum FHA mortgage down payment is 3.5% for those who qualify financially for a primary purchase. SoFi is not affiliated with any government agency.
†Veterans, Service members, and members of the National Guard or Reserve may be eligible for a loan guaranteed by the U.S. Department of Veterans Affairs. VA loans are subject to unique terms and conditions established by VA and SoFi. Ask your SoFi loan officer for details about eligibility, documentation, and other requirements. VA loans typically require a one-time funding fee except as may be exempted by VA guidelines. The fee may be financed or paid at closing. The amount of the fee depends on the type of loan, the total amount of the loan, and, depending on loan type, prior use of VA eligibility and down payment amount. The VA funding fee is typically non-refundable. SoFi is not affiliated with any government agency.
Tax Information: This article provides general background information only and is not intended to serve as legal or tax advice or as a substitute for legal counsel. You should consult your own attorney and/or tax advisor if you have a question requiring legal or tax advice.
Checking Your Rates: To check the rates and terms you may qualify for, SoFi conducts a soft credit pull that will not affect your credit score. However, if you choose a product and continue your application, we will request your full credit report from one or more consumer reporting agencies, which is considered a hard credit pull and may affect your credit.
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Get prequalified in minutes for a SoFi Home Loan.
Free Bend, OR Home Mortgage Loan Calculator
Bend, OR Mortgage Calculator
By SoFi Editors | Updated October 23, 2025
A Bend, Oregon, mortgage calculator is a powerful tool for anyone considering buying a home in Bend. It helps estimate monthly payments, total interest paid, and the overall cost of the mortgage. By inputting the home price, down payment, loan term, interest rate, and property tax rate, you can gain a clearer picture of your financial obligations and ensure a smooth and successful home purchase.
Key Points
• A Bend mortgage calculator helps estimate monthly payments, total interest, and overall mortgage cost.
• The calculator factors in home price, down payment, loan term, interest rate, and property tax rate to estimate your monthly mortgage payment.
• A 20% down payment can eliminate the need for private mortgage insurance (PMI), potentially saving you money on your monthly mortgage payment.
• Choosing a 15-year mortgage term over a 30-year term can significantly reduce the total interest paid, though it results in higher monthly payments.
• First-time homebuyer assistance programs in Bend can provide financial aid for down payments and closing costs, making homeownership more accessible.
Bend Mortgage Calculator
Calculator Definitions
• Home price: The home price represents the purchase price you have agreed to with the home seller. Accurately inputting this value helps you get a realistic estimate of your monthly payments and overall home loan costs.
• Down payment: The down payment represents the initial amount the homebuyer provides upfront, often articulated as a percentage of the total purchase price. Most buyers contribute a down payment between 3% and 20% of the home’s value.
• Loan term: The loan term represents the length of time you have to repay the mortgage. Opting for a shorter term can lead to higher monthly payments but less interest paid overall.
• Interest rate: The interest rate is the cost of borrowing money, expressed as a percentage of the loan amount. A lower interest rate can significantly reduce your monthly payments and the total interest paid over the life of the loan.
• Annual property tax: The annual property tax is a yearly tax levied based on the home’s assessed value and location. In Bend, Oregon, property taxes are typically around 0.62% of the home’s value.
• Total monthly payment: The total monthly payment includes the principal, interest, and property tax. It may also include private mortgage insurance, homeowners insurances, and homeowners association (HOA) fees.
• \ Total interest paid: The total interest paid represents the cumulative amount of interest you will pay over the entire life of the loan. A higher interest rate or a longer loan term will result in a greater total amount of interest paid.
•\ \ Total loan cost: The total loan cost is the all-in amount you will pay for the loan, including both the principal and the interest. By comparing different scenarios, you can find the most cost-effective option for your budget.
How to Use the Bend, OR Mortgage Calculator
The Bend mortgage calculator is a user-friendly tool designed to help you estimate your monthly payments and understand the financial implications of different home loan scenarios. Here’s a step-by-step guide on exactly how to use the calculator:
Step 1: Enter Your Home Price
The home price is the amount listed in your contract. This figure helps estimate your monthly payments, total interest, and the overall cost of the mortgage.
Step 2: Select a Down Payment Amount
The down payment is the portion of the home price you agree to pay upfront. A larger down payment can reduce your monthly mortgage payments and potentially eliminate the need for private mortgage insurance (PMI). A down payment calculator can help you decide on your number.
Step 3: Choose a Loan Term
The loan term is the duration over which you will repay your mortgage. Consider your financial goals and budget when choosing the loan term that best suits your needs. Most consumers choose a mortgage with either a 30-year or a 15-year term.
Step 4: Enter an Interest Rate
The interest rate is a key factor in determining your monthly mortgage payment. Enter your expected interest rate to the second or third decimal point, such as 6.74%. If you’re looking at large loan amounts (over $800K), you’ll want to look at rates for jumbo loans.
Step 5: Add Your Annual Property Tax Rate
The annual property tax is the amount you will pay each year to the local government. Enter the property tax percentage, not the dollar amount. The Deschutes County (Bend) property tax rate is 0.62% of the home’s assessed value.
Benefits of Using a Mortgage Payment Calculator
A mortgage calculator helps you estimate your monthly payments and understand the financial implications of different loan scenarios. Before house hunting, you can assess affordability based on the loan amount, interest rate, and term. You can also see how different down payment amounts affect your monthly payment.
Mortgage calculators are particularly useful for first-time homebuyers who may not be aware of all that goes into a mortgage payment and how that payment is determined. Keep in mind, though, that the calculator is designed for fixed-rate mortgages. If you choose a loan with a variable rate, your payment will not remain the same throughout the life of the loan.
By using a mortgage payment calculator, you can set realistic savings goals, plan your budget effectively, and ensure that your home purchase is financially feasible.
Recommended: Best Places to Live in Oregon
Deciding How Much House You Can Afford in Bend
In Bend, the median home sale price in 2025 was $699,000. Lenders generally suggest that housing costs should not exceed 28% of your gross monthly income. For a $699,000 home with a 20% down payment and a 7.00%, 30-year mortgage, you can expect a monthly payment of around $3,720, which would require an annual income of approximately $160,000.
Your total debt, including your mortgage, auto loans, student loans, and credit cards, should be within 36% of your gross monthly income. In this case, debts outside of your mortgage shouldn’t exceed $1,060 per month. Use a home affordability calculator for a rough estimate based on income and debt obligations.
It can be useful to go through the mortgage preapproval process with a potential lender to get a clear picture of how much of a loan you can afford.
Current mortgage rates by state.
Compare current home interest rates by state and find a mortgage rate that suits your financial goals.
Select a state to view current rates:
Components of a Mortgage Payment
The main components of a mortgage payment are principal and interest. The principal is the amount borrowed from a lender, while the interest is the cost of borrowing. The Bend mortgage calculator also factors in property tax. Other components of a mortgage payment may include:
• Homeowners insurance: Protection against damage to your home and personal property.
• Private mortgage insurance (PMI): Required if your down payment is less than 20% of the home’s value.
• HOA fees: Monthly or annual fees paid to a homeowners association for maintenance and management of common areas and amenities in a community.
If you’re considering an FHA loan, you may want to use an FHA mortgage calculator, which allows for that kind of loan’s mortgage insurance premiums.
Likewise, a VA mortgage calculator can be helpful if you’re looking at a loan backed by the U.S. Department of Veterans Affairs.
Cost of Living in Bend, OR
Bend is known for its stunning scenery and outdoor lifestyle, but those perks come with a higher cost of living than the national average. According to Best Places, the cost of living in Bend is 27% higher than the national average and 11% higher than the Oregon average. This is mostly due to housing expenses, which continue to rise due to high demand and limited inventory.
Other expenses in Bend, such as groceries, health care, and transportation, also tend to be slightly above average, though utilities are roughly 16% below the national average. Despite the higher costs, many residents find the area’s strong sense of community, access to nature, and high quality of life well worth it.
Recommended: Average Monthly Expenses for One Person
Run the numbers on your home loan.
-
Mortgage calculator
Punch in your home loan amount and a new interest rate, and we’ll estimate your payoff date.
-
Down payment calculator
Enter a few details about your home loan and we’ll provide your monthly mortgage payment.
-
Home affordability calculator
Provide us with a few details and see how much you can afford to spend on a home purchase.
Using the free calculators is for informational purposes only, does not constitute an offer to receive a loan, and will not solicit a loan offer. Any payments shown depend on the accuracy of the information provided.
Bend’s First-Time Homebuyer Assistance Programs
If you’re buying your first home in Bend, there are several Oregon first-time homebuyer assistance programs available to help you cover the initial costs. These programs often provide financial aid for the down payment, closing costs, or both. To qualify, you typically must not have owned a primary residence within the past three years. These assistance programs can make homeownership more accessible and affordable, especially for those with limited savings.
Recommended: Do You Qualify as a First-Time Homebuyer?
Tips on Reducing Your Mortgage Payment
Fortunately, you’re not necessarily stuck with the same mortgage payment until it’s paid off. Below are some strategies to reduce your monthly mortgage payments:
• Drop PMI. Once you reach 20% equity in your home, either through payments or home appreciation, you can request to remove private mortgage insurance (PMI), which can significantly lower your monthly mortgage payment.
• Consider mortgage recasting. Mortgage recasting involves making a lump sum payment to reduce your principal balance. Your lender will then re-amortize the loan, potentially lowering your monthly payments without extending the loan term.
• Appeal your property taxes. If you believe your property tax assessment is too high, you can appeal your property taxes. Start by reviewing your annual city property tax bill and comparing it to similar properties in your area.
• Modify your loan. If you encounter financial hardship, you may be able to modify your loan to make your monthly payments more manageable. Contact your lender to discuss your options and see if you qualify for a modification program.
• Extend the term of your loan. Refinancing your mortgage to a longer loan term can significantly reduce your monthly payments, offering immediate financial relief. However, this also means you’ll end up paying more in interest over the entire life of the loan.
• Shop for a lower homeowners insurance rate. By comparing different insurance providers, you can find a policy that offers better coverage at a more affordable price.
The Takeaway
Using our Bend mortgage calculator can help you estimate your monthly mortgage payments and understand the financial implications of different loan scenarios. This allows you to find a home that fits your financial goals and lifestyle.
Looking for an affordable option for a home mortgage loan? SoFi can help: We offer low down payments (as little as 3% - 5%*) with our competitive and flexible home mortgage loans. Plus, applying is extra convenient: It's online, with access to one-on-one help.
FAQ
How much is the average mortgage in Bend?
The average mortgage payment in Bend was $4,150 in 2025. But mortgage payments can vary based on home price, down payment, and interest rate. To get a precise estimate of what your mortgage payment could be, use a Bend mortgage calculator.
How does my credit score affect my mortgage loan interest rate?
Your credit score plays a significant role in determining your interest rate for a mortgage loan. A higher credit score generally leads to a lower interest rate, which can save you thousands of dollars over the life of the loan. Building your credit score before applying for a mortgage can help you secure better loan terms and reduce your monthly payments.
What are principal and interest on a mortgage loan?
The principal on a mortgage loan is the amount you borrow from the lender, while the interest is the cost of borrowing that amount, expressed as a percentage of the principal. Each monthly payment you make includes a portion that goes toward paying down the principal and another portion that covers the interest. Over time, more of your payment will go toward the principal as the loan balance decreases.
Should I choose a 30-year or 15-year mortgage term?
When choosing between a 15-year and 30-year mortgage, consider your finances. A 15-year mortgage builds equity faster with lower interest rates but higher payments. A 30-year mortgage offers lower payments, improving cash flow, but increases total interest paid. Use a mortgage calculator to compare costs and choose the best loan for your situation.
How much is a $600,000 mortgage payment for 30 years?
To estimate the total monthly payment for a $600,000 mortgage over 30 years, use the Bend mortgage calculator. Assuming a 7.00% interest rate, the monthly payment on a $600,000 home loan would be approximately $3,992. For a $600,000 home with 20% down ($120,000), the payment would be $3,193, assuming other variables remain the same.
SoFi Mortgages
Terms, conditions, and state restrictions apply. Not all products are available in all states. See SoFi.com/eligibility-criteria for more information.
SoFi Loan Products
SoFi loans are originated by SoFi Bank, N.A., NMLS #696891 (Member FDIC). For additional product-specific legal and licensing information, see SoFi.com/legal. Equal Housing Lender.
*SoFi requires Private Mortgage Insurance (PMI) for conforming home loans with a loan-to-value (LTV) ratio greater than 80%. As little as 3% down payments are for qualifying first-time homebuyers only. 5% minimum applies to other borrowers. Other loan types may require different fees or insurance (e.g., VA funding fee, FHA Mortgage Insurance Premiums, etc.). Loan requirements may vary depending on your down payment amount, and minimum down payment varies by loan type.
Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.
¹FHA loans are subject to unique terms and conditions established by FHA and SoFi. Ask your SoFi loan officer for details about eligibility, documentation, and other requirements. FHA loans require an Upfront Mortgage Insurance Premium (UFMIP), which may be financed or paid at closing, in addition to monthly Mortgage Insurance Premiums (MIP). Maximum loan amounts vary by county. The minimum FHA mortgage down payment is 3.5% for those who qualify financially for a primary purchase. SoFi is not affiliated with any government agency.
†Veterans, Service members, and members of the National Guard or Reserve may be eligible for a loan guaranteed by the U.S. Department of Veterans Affairs. VA loans are subject to unique terms and conditions established by VA and SoFi. Ask your SoFi loan officer for details about eligibility, documentation, and other requirements. VA loans typically require a one-time funding fee except as may be exempted by VA guidelines. The fee may be financed or paid at closing. The amount of the fee depends on the type of loan, the total amount of the loan, and, depending on loan type, prior use of VA eligibility and down payment amount. The VA funding fee is typically non-refundable. SoFi is not affiliated with any government agency.
Tax Information: This article provides general background information only and is not intended to serve as legal or tax advice or as a substitute for legal counsel. You should consult your own attorney and/or tax advisor if you have a question requiring legal or tax advice.
Checking Your Rates: To check the rates and terms you may qualify for, SoFi conducts a soft credit pull that will not affect your credit score. However, if you choose a product and continue your application, we will request your full credit report from one or more consumer reporting agencies, which is considered a hard credit pull and may affect your credit.
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Get prequalified in minutes for a SoFi Home Loan.
Free Fayetteville, NC Mortgage Loan Calculator
Fayetteville, NC Mortgage Calculator
By SoFi Editors | Updated October 24, 2025
Getting a mortgage in Fayetteville is easier when you’ve done your homework in advance. Put a few basic facts into this Fayetteville mortgage calculator, and you’ll learn the monthly payment amount and total interest cost for your home purchase. You can also use the calculator to try out different scenarios to find the home price, down payment, and interest rate that are the best combo for you.
Key Points
• A mortgage loan calculator helps homebuyers quickly estimate the monthly and total costs of borrowing money to buy a home.
• Generally speaking, monthly mortgage payments should not exceed 28% of gross income.
• The calculator includes principal, interest, down payment, and estimated property tax.
• Extending the mortgage loan term can reduce monthly payments, making home buying more affordable. Extending the term also increases your total costs over the life of the loan.
• First-time homebuyer programs offer help with a down payment, closing costs, or both.
Fayetteville Mortgage Calculator
Calculator Definitions
• Home price: The home price is the purchase price that you have agreed upon with the home seller. This is a key figure when it comes to determining your home loan amount.
• Down payment: The down payment is the amount you pay upfront. Buyers typically put down between 3% and 20%. A down payment calculator can show you how much you would need to put down to reach 20%, which would likely eliminate the need to pay for private mortgage insurance (PMI).
• Loan term: The loan term is the length of time you have to repay the loan. Common terms are 15 and 30 years. A shorter term can reduce total interest paid but increases monthly payments. A longer term offers lower monthly payments but results in more interest overall.
• Interest rate: The interest rate is the cost of borrowing money, expressed as a percentage of the total loan amount. Interest rates vary based on factors such as your credit score and the type of mortgage loan you choose.
• Annual property tax: Local property tax is often rolled into your monthly housing payment.
• Monthly payment: The monthly payment represents what you would pay toward the loan’s principal and interest each month, plus a sum that goes toward your property tax. This calculator does not include home insurance, private mortgage insurance, or homeowners association (HOA) fees.
• Total interest paid: The total interest paid represents the amount of interest you will pay over the life of your home loan. A larger down payment, lower interest rate, or shorter loan term can reduce this amount.
• Total loan cost: The total loan cost represents the entire amount you will pay for the loan, including both the principal borrowed and the accumulated interest.
How to Use the Fayetteville Mortgage Calculator
• Step 1: Enter Your Home Price
Type the home price, which is the agreed-upon purchase price with the home seller.
• Step 2: Select a Down Payment Amount
Choose the percent of the home price you will pay upfront. A larger down payment can reduce monthly payments and total interest paid. Use a down payment calculator to determine the right figure for your budget.
• Step 3: Choose a Loan Term
Select the length of time you would like to repay the mortgage, anywhere from 10 to 30 years. A longer term means lower monthly payments but more interest over time.
• Step 4: Enter an Interest Rate
Input your estimated interest rate to the second or third decimal point. A lower rate reduces monthly payments and total interest paid.
• Step 5: Add Your Annual Property Tax Rate
Enter the home’s property tax rate as a percentage. The average effective property tax rate in Cumberland County, where Fayetteville is located, is 1.06%.
Benefits of Using a Mortgage Payment Calculator
A mortgage calculator helps you estimate how much house you can afford by calculating monthly payments based on loan amount, interest rate, and repayment term. Use this tool to compare costs, like how the interest rate affects your monthly payments. Check out different loan terms to see their impact on expenses and total interest.
A Fayetteville mortgage calculator is particularly helpful if you’re buying your first home, as it allows you to play with different scenarios (raising and lowering the down payment amount, for example).
Deciding How Much House You Can Afford in Fayetteville
In Fayetteville, the median home sale price in late 2025 was $239,000 — much less expensive than the national median of around $439,000, according to Redfin.
Lenders suggest a mortgage payment not exceed 28% of your gross monthly income. You’d need to earn an annual income of about $55,000 if you were looking to afford a monthly payment of $1,281 on a $239,000 home. That assumes a 20% down payment ($47,800), an interest rate of 7.00% on a 30-year mortgage, and a property tax rate of 1.06% for Cumberland County.
Lenders also recommend total debt payments stay under 36% of gross monthly income. In this case, your other debts shouldn’t exceed $366 monthly. If you want to factor in a car loan or student loan, you can use a home affordability calculator.
A more reliable method to help you determine affordability is to go through the mortgage preapproval process with a lender, where you provide detailed financial information. The lender will let you know whether you qualify for a loan and, if so, in what amount and under what terms.
Current mortgage rates by state.
Compare current home interest rates by state and find a mortgage rate that suits your financial goals.
Select a state to view current rates:
Components of a Mortgage Payment
A mortgage payment mainly covers the principal (borrowed amount) and interest (borrowing cost). Your monthly payment might also include property tax, as this calculator does. If your down payment is less than 20%, you may be required to purchase PMI. Other potential costs that are often rolled into the payment are homeowners association (HOA) fees and homeowners insurance.
Homebuyers who are considering purchasing with the help of a Federal Housing Administration (FHA) loan will have an upfront and ongoing mortgage insurance premium to pay. These loans are still very affordable and are popular with first-time buyers. If you are considering an FHA loan, use an FHA mortgage calculator.
Similarly, if you are purchasing with a loan backed by the U.S. Department of Veterans Affairs, you’ll want a VA mortgage calculator.
Finally, if you are purchasing a pricey property, consider something called a jumbo loan. This type of loan is designed for when your loan amount is over the conforming loan limit set by the Federal Housing Finance Agency (FHFA).
Recommended: Average Monthly Expenses for One Person
Cost of Living in Fayetteville
Fayetteville is 6% less expensive than the national average and 1% more expensive to live in than the average city in North Carolina, according to the Economic Research Institute (ERI). The cost of living reflects how much you can afford in a certain area. This metric gives you a sense of what things cost in a region, including necessities like housing, utilities, groceries, health care, and transportation.
The cost of living index (COLI) is measured on a scale of 100 — a COLI higher than 100 means the region is more expensive than the national average, and a COLI below 100 indicates it is less expensive.
North Carolina holds a 2024 COLI of 97.8, in line with nearby Virginia (100.8) and South Carolina (94.7), according to data from the Council for Community and Economic Research’s Cost of Living Index. To help you compare the cost of living in Fayetteville, here are the COLI numbers for some of the major cities in North Carolina:
| North Carolina Cities’ Cost-of-Living Stats | |
|---|---|
| Asheville | 102.7 |
| Chapel Hill | 104.5 |
| Raleigh | 97.2 |
| Winston-Salem | 93.4 |
Source: Council for Community and Economic Research’s Cost of Living Index.
If you have a desire to pursue a home in one of the best affordable places in the U.S., you can also check out Greensboro and Southern Pines, which landed on the list of most economical places to live in North Carolina.
Recommended: The Cost of Living in the U.S.
Run the numbers on your home loan.
-
Mortgage calculator
Punch in your home loan amount and a new interest rate, and we’ll estimate your payoff date.
-
Down payment calculator
Enter a few details about your home loan and we’ll provide your monthly mortgage payment.
-
Home affordability calculator
Provide us with a few details and see how much you can afford to spend on a home purchase.
Using the free calculators is for informational purposes only, does not constitute an offer to receive a loan, and will not solicit a loan offer. Any payments shown depend on the accuracy of the information provided.
Tips for Reducing Your Mortgage Payment
As you explore your monthly bills, you may wonder how you can reduce your mortgage payment to free up cash to dedicate to other expenses. Here are some ways borrowers can lower their payments:
• Make additional payments toward the principal to decrease both the term of your loan and the total interest paid over its lifetime.
• Once you’ve built 20% equity in your home, request that your lender cancel PMI payments to save on unnecessary costs.
• Review your property taxes regularly. If you think your property taxes are too high, the Cumberland County Tax Administration can inform you about the appeals process.
• See if your insurer offers a discount for bundling policies. Sometimes if you purchase more than one policy with them — both a homeowners and auto policy, for instance — they may offer a discount.
• If mortgage rates have dropped since you made your purchase, consider a mortgage refinance.
Fayetteville First-Time Homebuyer Assistance Programs
If you are a first-time homebuyer in North Carolina, you can find state programs that help make homeownership more achievable by reducing the upfront financial burden. Down payment assistance programs can provide financial aid for the down payment, closing costs, or both.
To qualify as a first-time homebuyer, you must not have owned a primary residence within the past three years. Look into the North Carolina Housing Finance Agency (NCHFA), which offers programs designed to help low- to moderate-income buyers who need help coming up with a down payment or closing costs. Some of the NCHFA programs also assist veterans or individuals who are buying in certain areas or regions.
Recommended: Do You Qualify as a First-Time Homebuyer?
The Takeaway
Using a Fayetteville mortgage calculator is a valuable step in the home-buying process. It helps you estimate monthly payments, understand the impact of different down payment amounts, and compare various loan terms and interest rates. This tool can provide a clearer picture of your financial obligations and help you make informed decisions about your home loan. Especially if you are a first-time homebuyer in Fayetteville, the mortgage calculator can be a practical resource in planning your homeownership journey.
Looking for an affordable option for a home mortgage loan? SoFi can help: We offer low down payments (as little as 3% - 5%*) with our competitive and flexible home mortgage loans. Plus, applying is extra convenient: It's online, with access to one-on-one help.
FAQ
Should I choose a 30-year or 15-year mortgage term?
A 30-year mortgage offers lower monthly payments, but you will pay more interest over time. A 15-year mortgage has higher monthly payments but saves on interest. Consider your financial goals and budget, and choose the shortest term that you feel you can comfortably afford.
How much should I put down on a mortgage?
You should put as much money as you comfortably can toward a down payment on a home, while ensuring that you aren’t pinching your finances to the bone. A first-time homebuyer can sometimes put down as little as 3% toward the purchase price of a home. And repeat buyers may be able to contribute just 5%. If you put down less than 20%, you will likely have to add private mortgage insurance payments to your monthly bill. Look at the entire financial picture to determine if that makes sense for you.
How can I get a lower mortgage interest rate?
For the lowest mortgage interest rate, work to cultivate a strong credit score (aim for 700 or more, which is well over the 620 score you’ll need to qualify for a home loan). Go through the online prequalification process with multiple lenders to see how low a rate you might be able to obtain. A higher down payment may help, too, if you can afford to make one. If you already own a home, you can explore a mortgage refinance and compare the costs of your old loan versus a new one (plus closing costs) at a new, lower rate.
How much is the payment on a $250,000, 30-year mortgage?
The cost of a $250,000 mortgage with a 30-year term will depend on your interest rate and a down payment. For instance, at an interest rate of 6.00%, and a down payment of 20% ($50,000), your monthly payment would be $1,199. This estimate includes principal and interest but not property taxes, insurance, or other fees.
SoFi Mortgages
Terms, conditions, and state restrictions apply. Not all products are available in all states. See SoFi.com/eligibility-criteria for more information.
SoFi Loan Products
SoFi loans are originated by SoFi Bank, N.A., NMLS #696891 (Member FDIC). For additional product-specific legal and licensing information, see SoFi.com/legal. Equal Housing Lender.
*SoFi requires Private Mortgage Insurance (PMI) for conforming home loans with a loan-to-value (LTV) ratio greater than 80%. As little as 3% down payments are for qualifying first-time homebuyers only. 5% minimum applies to other borrowers. Other loan types may require different fees or insurance (e.g., VA funding fee, FHA Mortgage Insurance Premiums, etc.). Loan requirements may vary depending on your down payment amount, and minimum down payment varies by loan type.
Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.
¹FHA loans are subject to unique terms and conditions established by FHA and SoFi. Ask your SoFi loan officer for details about eligibility, documentation, and other requirements. FHA loans require an Upfront Mortgage Insurance Premium (UFMIP), which may be financed or paid at closing, in addition to monthly Mortgage Insurance Premiums (MIP). Maximum loan amounts vary by county. The minimum FHA mortgage down payment is 3.5% for those who qualify financially for a primary purchase. SoFi is not affiliated with any government agency.
†Veterans, Service members, and members of the National Guard or Reserve may be eligible for a loan guaranteed by the U.S. Department of Veterans Affairs. VA loans are subject to unique terms and conditions established by VA and SoFi. Ask your SoFi loan officer for details about eligibility, documentation, and other requirements. VA loans typically require a one-time funding fee except as may be exempted by VA guidelines. The fee may be financed or paid at closing. The amount of the fee depends on the type of loan, the total amount of the loan, and, depending on loan type, prior use of VA eligibility and down payment amount. The VA funding fee is typically non-refundable. SoFi is not affiliated with any government agency.
Tax Information: This article provides general background information only and is not intended to serve as legal or tax advice or as a substitute for legal counsel. You should consult your own attorney and/or tax advisor if you have a question requiring legal or tax advice.
Checking Your Rates: To check the rates and terms you may qualify for, SoFi conducts a soft credit pull that will not affect your credit score. However, if you choose a product and continue your application, we will request your full credit report from one or more consumer reporting agencies, which is considered a hard credit pull and may affect your credit.
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Free Raleigh, NC Mortgage Loan Calculator
Raleigh, NC Mortgage Calculator
By SoFi Editors | Updated October 23, 2025
A Raleigh mortgage calculator is a useful tool for prospective homebuyers, helping you to estimate monthly payments and understand the financial implications of different home loan scenarios. By inputting the home price, down payment, loan term, interest rate, and local property tax rate, users can get a clearer picture of their potential mortgage costs. Learn how to use this free Raleigh mortgage calculator to your advantage in this guide.
Key Points
• A Raleigh mortgage calculator helps prospective homebuyers estimate monthly payments and determine what is a good fit for their budget.
• The down payment, typically ranging from 3% to 20% of the home’s purchase price, can significantly impact monthly payments and the total interest paid.
• Down payment assistance programs are available in Raleigh to help some first-time homebuyers reduce initial costs.
• The loan term is between 10 and 30 years, with shorter terms leading to higher monthly payments but less interest paid overall.
• The interest rate, influenced by credit history and market trends, is a critical factor in determining monthly mortgage payments.
Raleigh Mortgage Calculator
Calculator Definitions
• Home price: This is the purchase price you have agreed upon with the home seller. This figure is needed to determine the size of the home loan.
• Down payment: The down payment is how much you’ll pay upfront, typically from 3% to 20% of the purchase price. To avoid paying for private mortgage insurance (PMI), you’ll need a 20% down payment. A jumbo loan usually requires at least 10% down.
• Loan term: The loan term represents the length of time you have to repay the mortgage, anywhere from 10 to 30 years. A shorter term typically has higher monthly payments but less interest over the life of the loan, while a 30-year term offers lower monthly payments but more interest.
• Interest rate: The interest rate represents the cost of borrowing money, expressed as a percentage of the total home loan amount. The type of mortgage loan you choose and your credit score will greatly impact the rate you’re offered.
• Annual property tax: Your property tax rate will play a significant role in determining the total monthly mortgage payment. In Wake County, where Raleigh is located, the property tax rate is .715%. To find your property’s rate, search by ZIP code, town name, or county name.
• Total monthly payment: The total monthly payment for a home typically includes the principal loan amount and the interest accrued on the loan. This calculator also includes property taxes.
• Total interest paid: The total interest paid is the cumulative amount of interest you will pay over the life of your home loan.
• Total loan cost: The total loan cost represents the all-in amount you will pay for the home loan.
How to Use the Raleigh Mortgage Calculator
Step 1: Enter Your Home Price
Type in the purchase price of the Raleigh property you play to buy.
Step 2: Select a Down Payment Amount
Choose how much of the home price you will pay upfront. To see what it takes to meet the 20% minimum needed to avoid PMI, use a down payment calculator.
Step 3: Choose a Loan Term
Select the length of time to repay the mortgage, anywhere from 10 to 30 years. A longer term lowers monthly payments but increases total interest.
Step 4: Enter an Interest Rate
Input your estimated interest rate. Lower rates reduce monthly payments and total interest paid.
Step 5: Add Your Annual Property Tax Rate
Enter the local property tax rate as a percentage.
Benefits of Using a Mortgage Payment Calculator
A mortgage calculator helps homebuyers estimate affordability by calculating monthly payments based on loan amount, interest rate, and term, as well as local property taxes. If you haven’t been through the mortgage process before and are buying your first home, the mortgage calculator can be a fast, easy way to experiment with different down payment amounts or loan terms to see how they affect your costs, both in the short term and over the life of the loan.
Using a mortgage calculator will help you make informed decisions and plan for the true cost of homeownership.
Deciding How Much House You Can Afford in Raleigh
In late 2025, the median sale price of a home in Raleigh was $420,000. Let’s use that number to see how much house a buyer might be able to afford in the area. Lenders suggest that no more than 28% of your gross monthly income go toward your housing costs. To afford a $420,000 home in Raleigh with a 20% down payment, a 6.50% interest rate, and a 30-year loan term, you would need to earn $105,000. Your monthly payment, including property taxes, would be $2,374, according to the mortgage calculator. This assumes you don’t have other significant debts you’ll be paying off alongside your mortgage.
If you want to start with your annual income, factor in your debts, and find a comfy home budget that way, try using a home affordability calculator. Or if you’re into the search process and want to really pin down how much you might be able to borrow, go through the mortgage preapproval process with a lender. You’ll provide detailed financial information and the lender will tell you if you qualify for a loan, and if so, how much you might borrow and at what terms.
Current mortgage rates by state.
Compare current home interest rates by state and find a mortgage rate that suits your financial goals.
Select a state to view current rates:
Components of a Mortgage Payment
The main components of a mortgage payment are principal and interest. The principal is the amount borrowed, and the interest is the cost of borrowing that money. Additionally, your monthly payment may include property tax, which can vary by location. That’s why this free mortgage calculator includes taxes. If your down payment is less than 20%, you may also have to pay for private mortgage insurance (PMI). Other potential components include homeowners insurance and homeowners association (HOA) fees.
Mortgages backed by the Federal Housing Administration have principal and interest, too. But FHA borrowers will also have an upfront and ongoing mortgage insurance premium to pay as part of their loan payment. Use an FHA mortgage calculator if you’re looking at an FHA loan. And if you’re seeking a loan backed by the U.S. Department of Veterans Affairs, use a VA mortgage calculator.
Recommended: Average Monthly Expenses for One Person
Cost of Living in Raleigh
North Carolina as a whole has a cost of living that is just below the U.S. average, and Raleigh is an average North Carolina metro area. It’s not on North Carolina’s list of best affordable places in the U.S., but nor is it wildly expensive.
Cost of living significantly impacts affordability, and it’s worth taking a deeper look when you’re thinking about buying a home in an area. Here’s how subcategories of costs stack up in Raleigh, according to data from the Council for Community and Economic Research (C2ER). The average cost of living in the U.S. equals 100 on this scale. As you can see, housing and utilities in Raleigh are particularly affordable when compared to the national average.
| Raleigh Cost-of-Living Stats | |
|---|---|
| Overall Cost of Living | 97.2 |
| Groceries | 100.5 |
| Housing | 91.9 |
| Utilities | 90 |
| Transportation | 91.9 |
| Health Care | 112.6 |
| Miscellaneous Goods/Services | 101.1 |
Run the numbers on your home loan.
-
Mortgage calculator
Punch in your home loan amount and a new interest rate, and we’ll estimate your payoff date.
-
Down payment calculator
Enter a few details about your home loan and we’ll provide your monthly mortgage payment.
-
Home affordability calculator
Provide us with a few details and see how much you can afford to spend on a home purchase.
Using the free calculators is for informational purposes only, does not constitute an offer to receive a loan, and will not solicit a loan offer. Any payments shown depend on the accuracy of the information provided.
Raleigh’s First-Time Homebuyer Assistance Programs
If you’re buying your first home in Raleigh, or haven’t owned a primary residence in the past three years, down payment assistance programs may be available to help you cover some of the initial costs. These programs provide financial aid specifically designated for the down payment, closing costs, or both. Sometimes there’s a low- or no-interest second mortgage involved, and sometimes assistance comes in the form of a grant. The NC Home Advantage Mortgage has a 30-year fixed rate and up to 3% down payment assistance.
Recommended: Do You Qualify as a First-Time Homebuyer?
Tips on Reducing Your Mortgage Payment
It’s possible to be settled into your new place and still want to find ways to lower your monthly mortgage payment. If you’re feeling a budget pinch, consider these techniques:
• Drop private mortgage insurance once you have 20% equity in your home. This can be achieved through regular payments or home appreciation, so keep an eye on your home’s market value on real estate websites.
• If you receive a bonus or other windfall, mortgage recasting can be a smart financial move. You’ll make a lump sum payment toward your mortgage principal and request that your lender re-amortize the loan, resulting in a new, smaller balance and lower monthly payments.
• Consider a mortgage refinance if interest rates have declined significantly or your credit score has improved noticeably since you purchased your home.
• If you believe your property tax assessment is too high, you can appeal it. Start by researching assessments for comparable properties in your area. Make sure you have evidence to support your case.
• If you face financial hardship, you may be able to request that your lender modify your loan to make your monthly payments more manageable. Loan modifications can involve reducing the interest rate or extending the term of your loan.
• Consider shopping around for a lower homeowners insurance rate. You can potentially lower your premium by increasing your deductible amount, bundling your homeowners and auto insurance policies, or making upgrades that enhance your home’s security or storm resistance.
The Takeaway
Using a Raleigh mortgage calculator is a crucial step in understanding the financial implications of buying a home in this part of the Triangle. It helps estimate monthly payments, total interest paid, and the overall cost of the mortgage, factoring in property taxes for a more accurate estimate. Use it to try out different mortgage scenarios so that you land on the right combination of down payment amount, interest rate, and loan term for your individual situation.
Looking for an affordable option for a home mortgage loan? SoFi can help: We offer low down payments (as little as 3% - 5%*) with our competitive and flexible home mortgage loans. Plus, applying is extra convenient: It's online, with access to one-on-one help.
FAQ
How much is the average mortgage in Raleigh?
The median mortgage payment in Raleigh is $3,140 according to the National Association of Realtors®. Payments are very individualized, however, and what you owe can fluctuate based on factors such as the home price, the size of the down payment, interest rates, and your credit score.
What are principal and interest on a mortgage loan?
The mortgage principal is the amount you borrow from a lender to purchase the home, while the interest is the cost of borrowing. Over the course of the loan, your consistent monthly payments will gradually pay down the principal owed and also cover the interest charges. When you begin the loan, the lender will provide you with an amortization schedule, which will tell you how much of each payment will go toward the principal vs. the interest each month.
How much should I put down on a mortgage?
The amount you put down to purchase a home is a personal choice based on your financial situation. If you want to know what others are doing, data from the National Association of Realtors® can provide insight: The typical down payment for first-time homebuyers has ranged from 6% to 9% over the last couple decades and has only ever been as high as 10%. More seasoned buyers, however, tend to put down more: The typical down payment for a repeat buyer in 2024 was 23%. Look closely at your finances and make your own decision.
Should I choose a 30-year or 15-year mortgage term?
Consider your finances when choosing between a 30-year or 15-year mortgage. A 30-year mortgage offers lower monthly payments but you will pay more interest overall. A 15-year mortgage has higher payments but less interest and faster equity growth. Choose a term that yields a monthly payment you can comfortably afford.
SoFi Mortgages
Terms, conditions, and state restrictions apply. Not all products are available in all states. See SoFi.com/eligibility-criteria for more information.
SoFi Loan Products
SoFi loans are originated by SoFi Bank, N.A., NMLS #696891 (Member FDIC). For additional product-specific legal and licensing information, see SoFi.com/legal. Equal Housing Lender.
*SoFi requires Private Mortgage Insurance (PMI) for conforming home loans with a loan-to-value (LTV) ratio greater than 80%. As little as 3% down payments are for qualifying first-time homebuyers only. 5% minimum applies to other borrowers. Other loan types may require different fees or insurance (e.g., VA funding fee, FHA Mortgage Insurance Premiums, etc.). Loan requirements may vary depending on your down payment amount, and minimum down payment varies by loan type.
Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.
¹FHA loans are subject to unique terms and conditions established by FHA and SoFi. Ask your SoFi loan officer for details about eligibility, documentation, and other requirements. FHA loans require an Upfront Mortgage Insurance Premium (UFMIP), which may be financed or paid at closing, in addition to monthly Mortgage Insurance Premiums (MIP). Maximum loan amounts vary by county. The minimum FHA mortgage down payment is 3.5% for those who qualify financially for a primary purchase. SoFi is not affiliated with any government agency.
†Veterans, Service members, and members of the National Guard or Reserve may be eligible for a loan guaranteed by the U.S. Department of Veterans Affairs. VA loans are subject to unique terms and conditions established by VA and SoFi. Ask your SoFi loan officer for details about eligibility, documentation, and other requirements. VA loans typically require a one-time funding fee except as may be exempted by VA guidelines. The fee may be financed or paid at closing. The amount of the fee depends on the type of loan, the total amount of the loan, and, depending on loan type, prior use of VA eligibility and down payment amount. The VA funding fee is typically non-refundable. SoFi is not affiliated with any government agency.
Tax Information: This article provides general background information only and is not intended to serve as legal or tax advice or as a substitute for legal counsel. You should consult your own attorney and/or tax advisor if you have a question requiring legal or tax advice.
Checking Your Rates: To check the rates and terms you may qualify for, SoFi conducts a soft credit pull that will not affect your credit score. However, if you choose a product and continue your application, we will request your full credit report from one or more consumer reporting agencies, which is considered a hard credit pull and may affect your credit.
SOHL-Q425-042
Get prequalified in minutes for a SoFi Home Loan.
Free Reno, NV Home Mortgage Loan Calculator
Reno, NV Mortgage Calculator
By SoFi Editors | Updated October 21, 2025
A Reno, Nevada, mortgage calculator is helpful for anyone considering purchasing a home in the “Biggest Little City in the World.” It can help you estimate monthly payments and understand the true cost of homeownership, allowing you to determine how much house you can afford based on your financial situation. Simply input the purchase price, down payment amount, interest rate, loan term, and property tax rate to view your potential monthly payment, total interest charges, and total cost of the loan. Here’s a complete guide on using the Reno mortgage calculator.
Key Points
• A Reno mortgage calculator estimates monthly payments, total interest paid, and total cost of the loan.
• Your credit score significantly impacts your mortgage interest rate, with a higher score securing more favorable rates and reducing the total cost of your loan.
• A 15-year mortgage term can help you build equity faster and pay less interest over the life of the loan, but it comes with higher monthly payments compared to a 30-year term.
• Down payment assistance programs can significantly ease the financial burden for first-time or low-income buyers, making homeownership more accessible.
• To reduce your monthly housing expenses, consider strategies like dropping private mortgage insurance (PMI) once you reach 20% equity, extending the loan term, or shopping for lower homeowners insurance rates.
Reno Mortgage Calculator
Calculator Definitions
• Home price: The home price represents the purchase price of the home, which may differ from the initial listing price or the offer you initially made. Accurate input of the home price ensures that your financial estimates, including your home loan, are reliable.
• Down payment: The down payment is the amount the homebuyer pays upfront, typically expressed as a percentage of the total purchase price. Most buyers put down between 3% and 20%, with a 20% down payment often eliminating the need for private mortgage insurance (PMI).
• Loan term: The loan term is the length of time you have to repay the mortgage. A 15-year term can help you build equity faster and pay less interest over the life of the loan, but it comes with higher monthly payments. A 30-year term offers lower monthly payments but results in more interest paid over time.
• Interest rate: The interest rate is the cost of borrowing money, expressed as a percentage of the loan amount. Interest rates can vary based on your credit score, debt-to-income ratio, and the type of mortgage loan. To secure a more favorable rate, consider building your credit score, reducing debt, or exploring different loan options.
• Annual property tax: The annual property tax is a component of your monthly housing costs, typically administered by the local government. This tax is often expressed as a percentage of the home’s assessed value.
• Total monthly payment: The total monthly payment includes the principal, interest, and property taxes. It may also include homeowners insurance, private mortgage insurance, and HOA fees.
• Total interest paid: This is the amount of interest you will pay over the life of the loan. This can be a substantial sum, especially for longer loan terms. To reduce the total interest paid, consider strategies like refinancing to a lower interest rate or opting for a shorter loan term.
• Total loan cost: The total loan cost represents the all-in amount you will pay for the loan. This includes both the original principal amount borrowed and all accrued interest over the life of the loan. The loan term plays a significant role in determining this total cost.
How to Use the Reno, NV Mortgage Calculator
Here is a step-by-step guide on how to use the Reno mortgage calculator effectively:
Step 1: Enter Your Home Price
Enter the amount you will pay the seller for the property. The purchase price will directly impact your home loan amount and monthly payment.
Step 2: Select a Down Payment Amount
The down payment is the portion you pay upfront for the home. A down payment calculator can help you decide on your number.
Step 3: Choose a Loan Term
Select the duration over which you will repay your mortgage. Most consumers choose a mortgage with either a 30-year or a 15-year term.
Step 4: Enter an Interest Rate
Input the interest rate you think you might qualify for to the second or third decimal point. A lower interest rate can significantly reduce your monthly payments and total loan cost. If you’re looking at large loan amounts (over $800K), you’ll want to look at rates for jumbo loans.
Step 5: Add Your Annual Property Tax Rate
Property taxes are what you will pay each year to the local government. Enter the property tax percentage, not the dollar amount. The Washoe County (Reno) property tax rate is 0.46% of the home’s assessed value.
Benefits of Using a Mortgage Payment Calculator
A mortgage calculator estimates monthly payments and homeownership costs, helping you determine affordability based on loan amount, interest rate, and term. It allows you to compare scenarios with different down payments or interest rates, and understand the impact of loan terms on your monthly expenses and total interest.
By using a mortgage calculator, you can gain a granular understanding of how various factors affect your financial commitment, ensuring that you make informed decisions and secure a home that fits your budget and financial goals.
This tool is invaluable for first-time homebuyers and those looking to refinance, as it provides a clear and detailed financial picture.
Recommended: Best Places to Live in Nevada
Deciding How Much House You Can Afford in Reno
In Reno, the median home sale price in 2025 was $530,000. Lenders advise keeping housing costs (mortgage, taxes, insurance, fees) under 28% of gross monthly income. To afford a $530,000 home, assuming a 20% down payment ($106,000) and a 7.00%, 30-year mortgage, you’d need roughly $121,000 in annual income. Your monthly mortgage payment would be about $2,821.
Total debt should stay under 36% of income, allowing for about $800 in other debt (student loans, auto loans, and credit cards). Use a home affordability calculator for a rough estimate based on income and debt obligations.
It can be useful to go through the mortgage preapproval process with a potential lender to get a clear picture of how much of a loan you can afford.
Current mortgage rates by state.
Compare current home interest rates by state and find a mortgage rate that suits your financial goals.
Select a state to view current rates:
Components of a Mortgage Payment
The main components of a mortgage payment are the principal and interest. The mortgage principal is the amount you borrow to purchase the home, while the interest is the cost of borrowing that principal.
Other components of a mortgage payment may include:
• Property taxes: Property taxes are local government taxes based on the value of your property. In Reno, the property tax rate is around 0.46% of the home’s assessed value.
• Homeowners insurance: Protection against damage to your home and personal property.
• Private mortgage insurance (PMI): Required if your down payment is less than 20% of the home’s value.
• HOA fees: Monthly or annual fees paid to a homeowners association for maintenance and management of common areas and amenities in a community.
If you’re considering an FHA loan, you may want to use an FHA mortgage calculator, which allows for that kind of loan’s mortgage insurance premiums.
Likewise, a VA mortgage calculator can be helpful if you’re looking at a loan backed by the U.S. Department of Veterans Affairs.
Cost of Living in Reno, NV
Reno’s cost of living is about 4% lower than the national average. But housing is almost 11% higher, and transportation is more than 23% higher.
Cost of living is benchmarked at 100. In Reno, the cost of living index is 104.1. Here’s how Reno compares to the national average in other areas:
| Reno’s Cost-of-Living Stats | |
|---|---|
| Overall Cost of Living | 104.1 |
| Groceries | 102.8 |
| Housing | 110.9 |
| Utilities | 93.6 |
| Transportation | 123.2 |
| Health Care | 88.7 |
| Miscellaneous Goods/Services | 98.7 |
Recommended: Average Monthly Expenses for One Person
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Using the free calculators is for informational purposes only, does not constitute an offer to receive a loan, and will not solicit a loan offer. Any payments shown depend on the accuracy of the information provided.
Reno’s First-Time Homebuyer Assistance Programs
If you’re buying your first home in Reno, there are several Nevada down payment assistance programs available to help you cover the initial costs. These programs can provide financial aid for the down payment, closing costs, or both. To qualify, you typically must not have owned a primary residence within the past three years. These programs can make homeownership more accessible, especially for those with limited savings.
Recommended: Do You Qualify as a First-Time Homebuyer?
Tips on Reducing Your Mortgage Payment
Lowering your mortgage payment can free up room in your budget and make homeownership more manageable over time. Here are several ways to reduce your monthly mortgage costs:
• Get rid of PMI. Drop private mortgage insurance (PMI) once you reach 20% equity in your home, either through regular payments or home appreciation. This can significantly lower your monthly mortgage payment and reduce the overall cost of homeownership.
• Extend the term of your loan. While this increases the total interest paid, it can reduce your monthly payments, making the mortgage more manageable in the short term.
• Appeal your property taxes if you believe your assessment is too high. Start by gathering evidence, such as recent comparable home sales in your area, to support your case. While rare, a successful appeal can reduce your property tax bill, lowering your overall monthly mortgage payment.
• Modify your loan if you’re facing financial hardship. This can involve changing the interest rate, extending the loan term, or reducing the principal, helping you avoid foreclosure and stay in your home.
• Shop for a lower homeowners insurance rate. You may be able to lower your premium by increasing your deductible, bundling homeowners and auto insurance, or making upgrades that enhance your home’s security or storm resistance.
The Takeaway
A Reno mortgage calculator gives you a look at your potential monthly mortgage payment and total loan cost, allowing you to understand the full financial picture of purchasing a home before signing on the dotted line. It also helps you see how interest rates, down payment amounts, and loan terms affect your payment and total cost.
Looking for an affordable option for a home mortgage loan? SoFi can help: We offer low down payments (as little as 3% - 5%*) with our competitive and flexible home mortgage loans. Plus, applying is extra convenient: It's online, with access to one-on-one help.
FAQ
How much is the average mortgage in Reno?
The average mortgage payment in Reno was $3,490 in 2025. But payments for the same priced home vary based on down payment and interest rate.
What are principal and interest on a mortgage loan?
The principal on a mortgage loan is the amount you borrow to purchase the home, while the interest is the cost of borrowing that principal. In the early years of your mortgage, a larger portion of your monthly payment goes toward interest, with the balance gradually shifting toward the principal over time.
How much should I put down on a mortgage?
How much you should put down on a mortgage depends on your individual financial situation. Most homebuyers put down between 3% and 20% of the purchase price of the home. A larger down payment can reduce your monthly mortgage payment and the total interest paid over the life of the loan. However, if you’re a first-time homebuyer or have limited savings, a smaller down payment may be your only option. If that’s the case, down payment assistance programs can help.
Should I choose a 30-year or 15-year mortgage term?
A 30-year mortgage offers lower payments but higher overall interest. A 15-year mortgage has higher payments but lower interest and faster equity building. Choose the 15-year option if you can afford the payments. If you need more budget flexibility, the 30-year term might be better.
How can I get a lower mortgage interest rate?
To get a lower mortgage interest rate, focus on building your credit score. A higher credit score can secure more favorable interest rates, as lenders view you as a lower risk. Pay down existing debts, make timely payments, and avoid opening new lines of credit before applying for a mortgage. Additionally, shop around for lenders and consider refinancing if market rates drop.
SoFi Mortgages
Terms, conditions, and state restrictions apply. Not all products are available in all states. See SoFi.com/eligibility-criteria for more information.
SoFi Loan Products
SoFi loans are originated by SoFi Bank, N.A., NMLS #696891 (Member FDIC). For additional product-specific legal and licensing information, see SoFi.com/legal. Equal Housing Lender.
*SoFi requires Private Mortgage Insurance (PMI) for conforming home loans with a loan-to-value (LTV) ratio greater than 80%. As little as 3% down payments are for qualifying first-time homebuyers only. 5% minimum applies to other borrowers. Other loan types may require different fees or insurance (e.g., VA funding fee, FHA Mortgage Insurance Premiums, etc.). Loan requirements may vary depending on your down payment amount, and minimum down payment varies by loan type.
Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.
¹FHA loans are subject to unique terms and conditions established by FHA and SoFi. Ask your SoFi loan officer for details about eligibility, documentation, and other requirements. FHA loans require an Upfront Mortgage Insurance Premium (UFMIP), which may be financed or paid at closing, in addition to monthly Mortgage Insurance Premiums (MIP). Maximum loan amounts vary by county. The minimum FHA mortgage down payment is 3.5% for those who qualify financially for a primary purchase. SoFi is not affiliated with any government agency.
†Veterans, Service members, and members of the National Guard or Reserve may be eligible for a loan guaranteed by the U.S. Department of Veterans Affairs. VA loans are subject to unique terms and conditions established by VA and SoFi. Ask your SoFi loan officer for details about eligibility, documentation, and other requirements. VA loans typically require a one-time funding fee except as may be exempted by VA guidelines. The fee may be financed or paid at closing. The amount of the fee depends on the type of loan, the total amount of the loan, and, depending on loan type, prior use of VA eligibility and down payment amount. The VA funding fee is typically non-refundable. SoFi is not affiliated with any government agency.
Tax Information: This article provides general background information only and is not intended to serve as legal or tax advice or as a substitute for legal counsel. You should consult your own attorney and/or tax advisor if you have a question requiring legal or tax advice.
Checking Your Rates: To check the rates and terms you may qualify for, SoFi conducts a soft credit pull that will not affect your credit score. However, if you choose a product and continue your application, we will request your full credit report from one or more consumer reporting agencies, which is considered a hard credit pull and may affect your credit.
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