FHA Loan Calculator
Estimate an FHA mortgage payment, upfront and annual mortgage insurance, cash to close, loan-limit status, and annual payoff schedule.
Estimate an FHA payment, mortgage insurance, cash to close, and annual payoff schedule.
Purchase and loan details
Initial monthly payment: $3,144.24
- Base FHA loan
- $386,000
- Financed loan with UFMIP
- $392,755
- Initial monthly MIP
- $175.98
- Estimated cash to close
- $24,000
FHA insurance and limit check
0.55% annual MIP for the mortgage term under the cited standard forward-mortgage schedule.
- Upfront MIP
- $6,755.00
- Loan-to-value
- 96.50%
- Entered local limit
- $541,287.00
- Limit check
- $155,287 remaining
- Principal and interest
- $2,418.26
- FHA mortgage insurance
- $175.98
- Property tax
- $400.00
- Home insurance
- $150.00
- HOA
- $0.00
- Total estimated interest
- $477,818.56
- Total estimated annual MIP
- $41,325.12
Important notes
- This is an educational estimate, not an FHA eligibility decision, approval, or lender quote.
- Property taxes, insurance, HOA dues, closing costs, rates, and escrow payments can change; this estimate holds entered values constant.
- The default local limit is the 2026 one-unit national low-cost floor. Replace it with the applicable county limit when different.
Initial monthly payment
$3,144.24 across the entered mortgage and housing costs
| Principal & interest | $2,418.26 | 77% |
|---|---|---|
| FHA mortgage insurance | $175.98 | 6% |
| Property tax | $400.00 | 13% |
| Home insurance | $150.00 | 5% |
Balance and mortgage insurance
Year-end financed balance and cumulative FHA annual MIP
| Year | Ending balance | Cumulative MIP |
|---|---|---|
| 1 | $388,153 | $2,112 |
| 5 | $366,587 | $10,286 |
| 10 | $330,848 | $19,743 |
| 15 | $282,038 | $28,071 |
| 20 | $215,377 | $34,855 |
| 25 | $124,337 | $39,530 |
| 30 | $0 | $41,325 |
Annual loan and FHA mortgage insurance schedule
Annual MIP follows HUD's average-outstanding-balance method and the original amortization schedule.
| Year | Beginning balance | Principal | Interest | FHA MIP | Ending balance |
|---|---|---|---|---|---|
| 1 | $392,755.00 | $4,602.28 | $24,416.84 | $2,111.76 | $388,152.72 |
| 2 | $388,152.72 | $4,898.32 | $24,120.80 | $2,086.08 | $383,254.40 |
| 3 | $383,254.40 | $5,213.38 | $23,805.74 | $2,058.84 | $378,041.02 |
| 4 | $378,041.02 | $5,548.72 | $23,470.40 | $2,029.92 | $372,492.30 |
| 5 | $372,492.30 | $5,905.64 | $23,113.48 | $1,998.96 | $366,586.66 |
| 6 | $366,586.66 | $6,285.47 | $22,733.65 | $1,966.20 | $360,301.19 |
| 7 | $360,301.19 | $6,689.77 | $22,329.35 | $1,931.16 | $353,611.42 |
| 8 | $353,611.42 | $7,120.09 | $21,899.03 | $1,893.96 | $346,491.33 |
| 9 | $346,491.33 | $7,578.05 | $21,441.07 | $1,854.36 | $338,913.28 |
| 10 | $338,913.28 | $8,065.48 | $20,953.64 | $1,812.24 | $330,847.80 |
| 11 | $330,847.80 | $8,584.26 | $20,434.86 | $1,767.36 | $322,263.54 |
| 12 | $322,263.54 | $9,136.42 | $19,882.70 | $1,719.60 | $313,127.12 |
| 13 | $313,127.12 | $9,724.09 | $19,295.03 | $1,668.72 | $303,403.03 |
| 14 | $303,403.03 | $10,349.58 | $18,669.54 | $1,614.72 | $293,053.45 |
| 15 | $293,053.45 | $11,015.28 | $18,003.84 | $1,557.12 | $282,038.17 |
| 16 | $282,038.17 | $11,723.80 | $17,295.32 | $1,495.80 | $270,314.37 |
| 17 | $270,314.37 | $12,477.88 | $16,541.24 | $1,430.64 | $257,836.49 |
| 18 | $257,836.49 | $13,280.48 | $15,738.64 | $1,361.16 | $244,556.01 |
| 19 | $244,556.01 | $14,134.72 | $14,884.40 | $1,287.36 | $230,421.29 |
| 20 | $230,421.29 | $15,043.88 | $13,975.24 | $1,208.64 | $215,377.41 |
| 21 | $215,377.41 | $16,011.54 | $13,007.58 | $1,125.00 | $199,365.87 |
| 22 | $199,365.87 | $17,041.42 | $11,977.70 | $1,035.96 | $182,324.45 |
| 23 | $182,324.45 | $18,137.54 | $10,881.58 | $941.16 | $164,186.91 |
| 24 | $164,186.91 | $19,304.20 | $9,714.92 | $840.24 | $144,882.71 |
| 25 | $144,882.71 | $20,545.87 | $8,473.25 | $732.84 | $124,336.84 |
| 26 | $124,336.84 | $21,867.42 | $7,151.70 | $618.48 | $102,469.42 |
| 27 | $102,469.42 | $23,274.00 | $5,745.12 | $496.92 | $79,195.42 |
| 28 | $79,195.42 | $24,771.00 | $4,248.12 | $367.44 | $54,424.42 |
| 29 | $54,424.42 | $26,364.33 | $2,654.79 | $229.56 | $28,060.09 |
| 30 | $28,060.09 | $28,060.09 | $958.99 | $82.92 | $0.00 |
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What does the FHA Loan Calculator calculate?
The FHA Loan Calculator converts the values you enter into a structured estimate using the formulas and assumptions documented on this page. Use the result to compare scenarios, review the calculation details, and identify sensitive inputs. Check the guide and formula sections before using the estimate for an important decision.
FHA Loan Calculator at a Glance
- Estimates a fixed-rate FHA purchase payment with upfront and annual mortgage insurance.
- Includes entered property tax, homeowners insurance, HOA dues and closing costs.
- Checks the base mortgage against the local FHA loan limit entered by the user.
- Shows initial payment components, cash to close, lifetime estimates and an annual payoff schedule.
History
The Federal Housing Administration was created in 1934 to insure qualifying mortgages made by approved lenders. FHA insurance does not mean the government lends the purchase money directly. It protects the lender against certain losses when an insured borrower defaults.
FHA payment calculations became more detailed as mortgage insurance, county loan limits and standardized disclosures evolved. A useful FHA mortgage calculator therefore needs more than a principal-and-interest formula: it must distinguish the base mortgage from financed upfront mortgage insurance, apply the annual insurance schedule and include property-related costs.
What Does This FHA Loan Calculator Do?
This calculator estimates the initial monthly payment, FHA mortgage insurance, base and financed loan amounts, cash to close and annual amortization for a standard fixed-rate FHA forward purchase scenario. Review the FHA Loan Calculator assumptions before relying on this result for decisions.
It also compares the base loan amount with the local FHA limit entered by the user. The calculation does not approve a borrower, determine an appraised value or replace the Loan Estimate from an FHA-approved lender.
Who Should Use It?
Prospective homebuyers can use the calculator to compare down payments, interest rates, terms and the choice to finance or pay the upfront mortgage insurance premium in cash. It is particularly useful for buyers who want to see how FHA mortgage insurance changes both the payment and the amount financed.
Housing counselors, real estate professionals and financial educators can use the breakdown to explain the difference between upfront MIP, annual MIP, escrowed ownership costs and the base loan used for the FHA limit check.
What Problems Does It Solve?
For “What Problems Does It Solve?,” the FHA Loan Calculator organizes the relevant inputs, applies the documented method, and shows a result that can be compared across scenarios. The points below identify the specific considerations and assumptions users should review before relying on the estimate.
- Incomplete payment estimates: combines principal, interest, FHA MIP, property tax, homeowners insurance and HOA dues.
- Mortgage-insurance confusion: separates the one-time upfront premium from the annual premium collected monthly.
- Loan-limit uncertainty: compares the base mortgage with the county and unit limit entered by the user.
- Cash planning: combines down payment, entered closing costs and cash-paid upfront MIP when selected.
- Term comparison: shows how loan term can affect payment, interest, MIP rate and MIP duration.
- Payoff visibility: provides an annual table of principal, interest, FHA MIP and ending balance.
- Scenario comparison: lets the user replace every property and loan assumption instead of relying on a generic example.
Key Benefits
The calculator keeps the loan amount used for FHA rules separate from the balance used for principal and interest. When upfront MIP is financed, the financed balance rises, but the local loan-limit check continues to use the base loan amount.
Annual mortgage insurance is estimated from the original amortization schedule using HUD's average-outstanding-balance method. This gives a more useful year-by-year estimate than multiplying the original loan by one rate for every year.
FHA Loan and Mortgage Definitions
- Base loan amount
- Purchase price minus the cash down payment in this model. It is used for the FHA loan-limit and mortgage-insurance rules.
- Upfront MIP
- The upfront mortgage insurance premium. The standard forward-purchase scenario modeled here uses 1.75% of the base loan.
- Annual MIP
- The annual mortgage insurance premium assessed according to term, base loan amount and original loan-to-value, then collected monthly.
- Financed loan amount
- The base loan plus upfront MIP when the user chooses to finance the upfront premium.
- Loan-to-value (LTV)
- The base loan amount divided by the purchase price used as the value proxy in this calculator.
- Local FHA loan limit
- The applicable limit for the property county or metropolitan area, property-unit count and case-number year.
- Principal and interest
- The scheduled fixed monthly amount that repays the financed balance and note-rate interest.
- Escrow costs
- Property tax and homeowners insurance often collected with the mortgage payment. Actual escrow requirements and amounts can change.
- Cash to close
- Down payment plus entered closing costs and, when selected, upfront MIP paid in cash. Prepaids and escrow deposits may be additional.
- Loan Estimate
- The standardized lender disclosure showing important loan terms, projected payments and closing costs.
When to Use It
Use the calculator before requesting quotes to understand the parts of an FHA payment. Update it after receiving a rate scenario, property-tax estimate, insurance quote, HOA amount, closing-cost estimate and the correct local loan limit. Review the FHA Loan Calculator assumptions before relying on this result for decisions.
Run a new scenario when the property, number of units, case-number year, down payment, term or decision about financing upfront MIP changes. Compare the result with official Loan Estimates rather than relying on the calculator alone.
How the FHA Loan Calculation Works
The engine first calculates the base loan and upfront mortgage insurance: For a useful FHA Loan Calculator result, enter realistic values, compare relevant scenarios, check the calculation details, and review the definitions, assumptions, and limitations before using the estimate for an important decision.
V is the entered purchase price, D is the down payment, B is the base loan, U is upfront MIP and P is the financed balance.
The fixed principal-and-interest payment is calculated from the financed balance, note rate and term. The engine then applies the FHA annual MIP rule selected by term, base loan and original LTV. Property tax, homeowners insurance and HOA dues are added to produce the initial total monthly estimate.
See the complete FHA loan formula page for the rate table, periodic MIP method, worked calculation and assumptions.
Frequently Asked Questions
What does the FHA loan calculator include?
It estimates fixed-rate principal and interest, upfront and annual FHA mortgage insurance, entered property tax, homeowners insurance, HOA dues, cash to close, and an annual payoff schedule. Review the FHA Loan Calculator assumptions before relying on this result for decisions.
Is 3.5% always enough for an FHA down payment?
No. The calculator flags an LTV above the standard 96.5% purchase maximum referenced by HUD, but actual eligibility depends on credit, property value, underwriting, lender requirements, and the specific FHA program. Review the FHA Loan Calculator assumptions before relying on this result for decisions.
Why is the financed loan amount higher than the base loan?
When the 1.75% upfront mortgage insurance premium is financed, it is added to the base loan amount. Paying it in cash lowers the financed balance but raises estimated cash to close. Review the FHA Loan Calculator assumptions before relying on this result for decisions.
How long does FHA annual mortgage insurance last?
Under the cited standard forward-mortgage schedule, mortgages with original LTV at or below 90% generally have annual MIP for 11 years; higher original LTV generally carries annual MIP for the mortgage term. Exceptions and other programs require lender review. Review the FHA Loan Calculator assumptions before relying on this result for decisions.
Why does monthly FHA mortgage insurance decline by year?
HUD calculates the periodic premium from the annual average outstanding balance on the original amortization schedule. As that balance declines, the calculated premium can decline. Use realistic inputs and review the FHA Loan Calculator assumptions before relying on this result for decisions.
Which FHA loan limit should I enter?
Enter the limit for the property county, number of units, and case-number year. The default is the 2026 one-unit national low-cost floor, not a universal county limit. Review the FHA Loan Calculator assumptions before relying on this result for decisions.
Does this calculator determine FHA approval?
No. It is an educational estimate. An FHA-approved lender determines eligibility, appraised value, credit requirements, allowable financing, fees, and final loan terms. For a useful FHA Loan Calculator result, use realistic inputs, compare relevant scenarios, and review the stated assumptions before making a decision.
One Fun Fact About This Calculator
In the default $400,000 example, financing the $6,755 upfront MIP means the fixed payment is calculated on $392,755 even though the base loan used for the FHA limit check is $386,000.
Conclusion
An FHA payment estimate is most useful when it shows the base mortgage, financed upfront premium, monthly annual MIP and property costs separately. Review the payment, cash to close, limit status and annual schedule together.
Use the calculator to prepare and compare scenarios. Confirm program eligibility, adjusted value, county limit, credit, income, debts, reserves, closing costs and final mortgage-insurance treatment with an FHA-approved lender.
FHA Loan Calculator Disclaimer
This calculator provides educational estimates, not financial, tax or legal advice, an FHA eligibility decision, appraisal, loan approval, lender quote or commitment to lend. FHA policies, local limits, lender requirements and property costs can change.