Enter your loan information to create a detailed amortization schedule by month or year.

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What's the monthly mortgage payment on a 85k loan? Enter your loan details above to create an amortization schedule.

What's the down payment on a 85k house? A standard down payment is 20% although many programs exist to allow lower down payments. Sometimes PMI (private mortgage insurance) is required for lower down payments.

What are popular loan terms for a 85k mortgage? A 30 year fixed mortgage is the most popular loan for home purchases. That includes 360 monthly payments. Many people also consider a 15 year fixed mortgage if they wish to pay off the loan sooner. 15 year mortgages usually have lower APRs than 30 year mortgages. ARMs, adjustable rate mortgages, are an option but come with the risk of refinancing into higher future interest rates. Common ARMs are 3 year, 5 year, and 7 year.

How do I get the cheapest mortgage? The best way to find the cheapest mortgage is to shop around. Get an online quote and speak with a local bank or credit union. Make sure to consider fees. Some mortgages might offer lower rates but higher fees.

What's the down payment on a 85k house? A standard down payment is 20% although many programs exist to allow lower down payments. Sometimes PMI (private mortgage insurance) is required for lower down payments.

Percent Down | Down Payment | Loan Balance |

5% | $4,250 | $80,750 |

10% | $8,500 | $76,500 |

15% | $12,750 | $72,250 |

20% | $17,000 | $68,000 |

25% | $21,250 | $63,750 |

30% | $25,500 | $59,500 |

How do I get the cheapest mortgage? The best way to find the cheapest mortgage is to shop around. Get an online quote and speak with a local bank or credit union. Make sure to consider fees. Some mortgages might offer lower rates but higher fees.

Use the calculator above to create an amortization table. Note how small changes in APR can lead to higher payments.

Interest Rate | Payment (30 Years) | Payment (15 Years) | Payment (5 Years) |

0.25% | $245.10/month | $481.18/month | $1,425.69/month |

0.5% | $254.31/month | $490.25/month | $1,434.74/month |

0.75% | $263.74/month | $499.43/month | $1,443.84/month |

1% | $273.39/month | $508.72/month | $1,452.97/month |

1.25% | $283.26/month | $518.12/month | $1,462.14/month |

1.5% | $293.35/month | $527.63/month | $1,471.34/month |

1.75% | $303.66/month | $537.25/month | $1,480.58/month |

2% | $314.18/month | $546.98/month | $1,489.86/month |

2.25% | $324.91/month | $556.82/month | $1,499.17/month |

2.5% | $335.85/month | $566.77/month | $1,508.53/month |

2.75% | $347.01/month | $576.83/month | $1,517.91/month |

3% | $358.36/month | $586.99/month | $1,527.34/month |

3.25% | $369.93/month | $597.27/month | $1,536.80/month |

3.5% | $381.69/month | $607.65/month | $1,546.30/month |

3.75% | $393.65/month | $618.14/month | $1,555.83/month |

4% | $405.80/month | $628.73/month | $1,565.40/month |

4.25% | $418.15/month | $639.44/month | $1,575.01/month |

4.5% | $430.68/month | $650.24/month | $1,584.66/month |

4.75% | $443.40/month | $661.16/month | $1,594.34/month |

5% | $456.30/month | $672.17/month | $1,604.05/month |

5.25% | $469.37/month | $683.30/month | $1,613.81/month |

5.5% | $482.62/month | $694.52/month | $1,623.60/month |

5.75% | $496.04/month | $705.85/month | $1,633.43/month |

6% | $509.62/month | $717.28/month | $1,643.29/month |

6.25% | $523.36/month | $728.81/month | $1,653.19/month |

6.5% | $537.26/month | $740.44/month | $1,663.12/month |

6.75% | $551.31/month | $752.17/month | $1,673.09/month |

7% | $565.51/month | $764.00/month | $1,683.10/month |

7.25% | $579.85/month | $775.93/month | $1,693.15/month |

7.5% | $594.33/month | $787.96/month | $1,703.23/month |

7.75% | $608.95/month | $800.08/month | $1,713.34/month |

8% | $623.70/month | $812.30/month | $1,723.49/month |

Use the calculator above to calculate the monthly mortgage payment. Enter your loan amount, interest rate, and loan length. Click "Calculate Amortization Schedule" to view the loan payment details.

The process of repaying a loan with interest to the lender is described in an amortization schedule. Each payment is broken down in terms of how much is applied to the principal and how much is interest. The distribution between principal and interest varies over time so the amortization schedule specifically illustrates the changes.

The easiest way to understand an amortization schedule is through an example using a mortgage. Let's say you want to purchase a $85,000 home so the bank agrees to provide with a loan at a fixed interest rate of 5% for 15 years. This assumes no down payment. To better understand how you will pay off the loan, you create an amortization schedule.

Since it is a 15 year loan, the amortization schedule shows you will have to make 180 payments (15 * 12 = 180). If there was no interest rate, determining your monthly payment be simple: 85,000 divided by 180 payments = $472.22 per month. But with a 5% interest rate, the monthly payment turns out to be $672.17 (determining the monthly payment requires a rather complex math formula).

Next you see that a portion of each payment is interest while the rest goes towards the loan's remaining balance. The distribution of these two amounts in each payment varies with the interest portion declining with each payment. Understanding how the interest is determined for each payment is not a tricky as it seems.

The 5% interest rate is an **annual interest rate**. To determine the monthly interest rate, it must be divided by 12. Then
the monthly interest rate is multiplied by the remaining balance to determine how much interest needs to be paid. Here is the process for determining
the first month's interest and portion that goes toward the loan's remaining balance.

*Step 1.* 5% annual interest rate / 12 = 0.42% monthly interest rate

*Step 2.* 0.42% * $85,000 = **$354.17**

*Step 3.* $672.17 - $354.17 = **$318.01**

This process is repeated for each payment until the loan is paid back in full. Since the remaining balance of the loan is decreasing, the amount of interest declines as well allowing the amount to pay off the loan to rise each month.

At the end of this loan, you will have not only paid back the $85,000, but also paid $35,991.42 in interest. To see this for yourself, return to the top of this page and press the Create button to see a complete amortization schedule.