Calculate your monthly repayment, total interest, and full amortisation schedule for any home loan.
Frequently Asked Questions
How is a mortgage payment calculated?
Your principal and interest payment uses the formula M = P × r(1+r)⊃n / ((1+r)⊃n − 1), where P is the loan amount, r is the monthly interest rate (annual rate ÷ 12), and n is the total number of payments (years × 12). This gives a fixed payment that fully repays the loan over the term.
How much deposit do I need?
In the USA, a 20% down payment avoids Private Mortgage Insurance (PMI). In the UK, most lenders require 5–10% with better rates at 25%+. In South Africa, banks typically require 10% though 100% bonds are sometimes available to qualifying first-time buyers. A larger deposit always reduces your monthly payment and total interest.
Should I choose a 15 or 30 year mortgage?
A 15-year mortgage has higher monthly payments but you pay significantly less interest overall — often less than half. A 30-year mortgage offers lower monthly payments and cash flow flexibility. If you can comfortably afford the 15-year payment, you will build equity much faster and save substantially on interest.
South Africa: What is transfer duty?
Transfer duty is a government tax on property transfers. Properties up to R1,100,000 are exempt. Above that, rates range from 3% to 13% on a sliding scale. Transfer duty is a once-off cost paid by the buyer on registration and is separate from your monthly bond repayment.
UK: What is stamp duty?
Stamp Duty Land Tax (SDLT) is paid on property purchases in England and Northern Ireland. From April 2025, the nil-rate threshold returns to £125,000 (2% on £125k–£250k, 5% on £250k–£925k). First-time buyers get relief up to £425,000 until March 2025, then £300,000. Scotland and Wales have their own equivalent taxes.