Mortgage Payoff Calculator — See Interest Savings & Payoff Date

Your Mortgage Details

Loan Information

Remaining Loan Balance Current principal owed

Interest Rate APR %

Loan Term Years remaining

Payments

Current Monthly Payment P&I only — excludes taxes/insurance

Extra Monthly Payment Additional principal — start with $100

Tip: Even $50-100 extra/month can shave years off your loan. Check with your lender to ensure extra payments go directly to principal (not next month's payment).

Enter your mortgage details
and click "Calculate Payoff"

How Mortgage Payoff Works

The math behind your mortgage — why extra payments have such outsized impact.

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Amortization Schedule

Your monthly payment is split between interest and principal. Early payments are mostly interest; later payments are mostly principal. Extra payments skip the interest and go straight to principal, breaking the amortization cycle.

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Compound Interest in Reverse

When you invest, compound growth multiplies your money. With a mortgage, extra payments compound in your favor by reducing the balance on which all future interest is calculated. $100 saved today avoids interest on $100 for the remaining life of the loan.

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Early Payments Matter Most

The biggest gains come from extra payments in the first 10-15 years. After 20+ years, most of your payment already goes to principal. Starting early — even with small amounts — has a dramatically larger effect than paying extra later in the loan.

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Lender Rules to Know

Most conventional loans let you pay extra with no penalty. Some loans (FHA, USDA) may have prepayment restrictions. Always confirm your extra payment is applied to principal — some servicers apply it to the next month's payment by default.

Mortgage Payoff Calculator FAQ

Answers to the most common questions about accelerating your mortgage payoff.

How does extra monthly payment affect my mortgage payoff?

Every extra dollar you pay goes directly toward principal — reducing the balance faster. This lowers the interest charged each month since interest is calculated on the remaining balance. Even a small extra payment each month can shave years off your loan and save tens of thousands in interest over the life of the mortgage.

What's the difference between biweekly and monthly payments?

With biweekly payments, you pay half your monthly payment every two weeks. Since there are 52 weeks in a year, that's 26 half-payments = 13 full months. You end up making one full extra monthly payment per year, which accelerates payoff. Over 30 years, a biweekly schedule cuts about 4-5 years off your loan and saves ~$25,000 in interest on a $300k loan at 6.5%.

Should I pay extra on principal or round up my payment?

Round-up is simpler — just increase your regular payment to a round number. Extra principal payments are more flexible and can be stopped anytime. Both work; what matters most is consistency. If you can afford more, even $50-100 extra per month makes a meaningful difference over time.

When should I NOT make extra mortgage payments?

If you have a low mortgage rate (below ~5%) and can earn more in the market, investing extra cash may yield better returns. Also, if you're in a higher-interest debt situation (credit cards, car loans) or lack an emergency fund, prioritize those first. The math changes when your mortgage rate is significantly below your investment return or other debt costs.

Does making extra payments affect my PMI?

Yes — extra payments build equity faster, which can help you reach the 20% threshold sooner and eliminate PMI payments. Once your home equity reaches 20%, contact your lender to request PMI removal. This alone can save $100-300/month depending on your loan size.

What is mortgage amortization?

Amortization is the process of spreading loan payments over time. Early in the loan, most of your payment goes to interest and little to principal. Over time, this flips — later payments are mostly principal. The amortization schedule shows this shift month by month. Extra payments early in the loan have the biggest impact because they reduce the balance on which future interest is calculated.

Pay Off Your Mortgage Faster