What is the monthly payment on a $300,000 mortgage?
A $300,000 fixed-rate mortgage over 30 years at 6.5% costs about $1,896 a month in principal and interest. Over 15 years it is $2,613. For your own amount, rate and term, use the mortgage calculator.
Table: monthly payment on $300,000
Principal and interest only, fixed rate, fully amortizing:
| Interest rate | 30 years | Total interest (30 y) | 15 years | Total interest (15 y) |
|---|---|---|---|---|
| 5.5% | $1,703.37 | $313,212 | $2,451.25 | $141,225 |
| 6.0% | $1,798.65 | $347,515 | $2,531.57 | $155,683 |
| 6.5% | $1,896.20 | $382,633 | $2,613.32 | $170,398 |
| 7.0% | $1,995.91 | $418,527 | $2,696.48 | $185,367 |
| 7.5% | $2,097.64 | $455,152 | $2,781.04 | $200,587 |
Each half point of interest adds about $100 a month on a 30-year loan, and roughly $35,000 over its full term.
15 or 30 years?
A 15-year mortgage has a monthly payment that is about $700 higher at 6.5%, but you pay $212,000 less interest. In practice, 15-year loans also often come with a slightly lower rate, which increases the saving. A 30-year loan keeps the payment affordable and gives you flexibility: you can still make extra payments when you can afford them.
What else is in your monthly payment?
The table only shows principal and interest. Your actual monthly housing cost usually also includes:
- property taxes, often paid into an escrow account
- homeowners insurance
- private mortgage insurance (PMI) if your down payment is below 20%
- HOA fees for condos and some neighborhoods
These can easily add several hundred dollars a month.
How much income do you need?
Lenders often look at the debt-to-income ratio. A common guideline is that housing costs should stay below about 28% of gross monthly income. With a total payment of about $2,300 including taxes and insurance, that suggests an income of around $98,000 a year. Actual limits depend on the lender and loan program.
Curious what a higher or lower rate means for you? Read how much a 1% higher mortgage rate costs.
Frequently asked questions
What is the payment on a $300,000 mortgage at 7%?
About $1,996 a month over 30 years, or $2,696 over 15 years, for principal and interest.
How much interest will I pay on a $300,000 mortgage?
At 6.5% over 30 years about $383,000; over 15 years about $170,000.
Does a bigger down payment lower my payment?
Yes. Enter the home price and down payment in the calculator; it computes the loan amount and the payment.