Mortgage Payoff Calculator
See how an extra monthly principal payment could change your mortgage timeline. Enter the remaining loan balance, annual interest rate and current principal-and-interest payment to compare the scheduled plan with an extra-payment scenario.
Enter your numbers
Calculations run in this browser. Your entries are not sent to a NexusNova calculation server.
Use the remaining balance and principal-and-interest payment. Extra payments are modeled as monthly principal reductions; confirm the treatment with your servicer.
Your result
Your result will appear here after you calculate.
Use the figures to understand the math, then confirm material financial or tax decisions against official documents and the terms that apply to you.
What the mortgage payoff estimate tells you
A regular mortgage payment usually contains interest and principal. Interest is calculated on the outstanding balance, so an additional payment that truly reduces principal can lower the balance on which later interest is charged. This calculator compares two simplified paths from your current balance: keep paying the amount you entered, or add a fixed extra principal amount each month. It estimates the payoff date in months, future interest and the interest difference between the paths.
The formula behind the calculation
For a monthly model, the periodic interest rate is annual APR ÷ 12 (or APR entered as a percentage divided by 1,200). Each month, interest is the remaining balance multiplied by that monthly rate. The amount of a payment left after interest reduces principal. The estimate repeats that process until the balance reaches zero. When you enter an extra payment, the scheduled payment and extra principal are added together for the accelerated scenario.
For example, with a $320,000 balance, a 6.5% APR and a $2,200 monthly principal-and-interest payment, adding $250 every month can shorten the schedule and reduce future interest. The exact savings depend on the entered figures and how the lender credits extra money. Results should be treated as a planning comparison rather than a lender payoff quote.
Before you make extra payments
Check whether your mortgage has a prepayment penalty or rules about how extra funds are applied. Some servicers let you specify principal-only payments; others may advance the due date instead. The calculator assumes the extra amount immediately reduces principal, the APR remains constant, payments happen monthly and there are no additional fees. It excludes property tax, homeowners insurance, escrow, mortgage insurance, servicing charges, rate resets and refinance costs.
Do not reduce an emergency reserve or ignore high-interest debt simply to make an extra mortgage payment. Compare your mortgage plan with a loan payoff estimate, estimate your annual bracket using the US tax bracket calculator, and check how trading fees affect your numbers with the stock profit calculator.
Frequently asked questions
Should I enter my full monthly housing payment? No. Enter principal and interest only. Escrow for property tax or insurance does not pay down the loan principal.
What if my payment is too small? If the monthly payment does not cover estimated interest, the balance will not decline and the calculator will explain that the schedule cannot amortize.
Is the result my official payoff amount? No. Contact your servicer for a dated payoff quote that includes accrued interest and any applicable fee.