How to use the fha loan calculator
- Enter the home price and your down payment percentage (at least 3.5%).
- Fill in the interest rate and loan term in years.
- Set the upfront MIP and annual MIP percentages based on current FHA guidelines.
- Review the results to see your base loan, total financed amount and estimated total payment.
How the FHA payment is calculated
The FHA loan calculator works through a specific sequence. First, it finds the base loan by subtracting the down payment from the home price. Then it calculates the upfront mortgage insurance premium (UFMIP) as a percentage of that base loan and adds it back in, because UFMIP is almost always financed rather than paid out of pocket.
For example, on a $300,000 home with 3.5% down:
- Down payment: $300,000 x 0.035 = $10,500
- Base loan: $300,000 - $10,500 = $289,500
- UFMIP (1.75%): $289,500 x 0.0175 = $5,066.25
- Total financed: $289,500 + $5,066.25 = $294,566.25
The principal and interest portion uses the standard amortization formula: P = L x [r(1+r)^n] / [(1+r)^n - 1], where L is the total financed amount, r is the monthly rate and n is the number of months. The monthly MIP is estimated as the base loan multiplied by the annual MIP rate divided by 12. HUD actually computes it on the average outstanding balance, so the true premium falls slightly over time. Add those two figures together for the total estimated payment.
Common FHA payment scenarios
The table below shows estimated payments for several typical situations using this fha loan calculator. All examples assume a 6.5% interest rate, 1.75% UFMIP and 0.55% annual MIP over 30 years.
| Home price | Down % | Base loan | Total financed | Est. payment |
|---|---|---|---|---|
| $200,000 | 3.5% | $193,000 | $196,377.50 | $1,329.70 |
| $300,000 | 3.5% | $289,500 | $294,566.25 | $1,994.55 |
| $400,000 | 3.5% | $386,000 | $392,755.00 | $2,659.40 |
| $300,000 | 10% | $270,000 | $274,725.00 | $1,860.20 |
Notice how increasing the down payment from 3.5% to 10% on a $300,000 home reduces the total financed amount by nearly $20,000 and lowers the payment by about $134 per month.
What this estimate does not include
This fha loan calculator focuses on principal, interest and mortgage insurance. A real housing payment also includes property taxes and homeowners insurance, which vary widely by location. Use a dedicated property tax calculator to estimate that portion separately.
If your down payment is under 10%, the lender may also require an escrow account for taxes and insurance, adding several hundred dollars to your actual payment. Homeowners association dues, if applicable, are another separate cost.
For broader borrowing comparisons, a general mortgage calculator can help you weigh FHA against conventional options side by side.
When to consider an FHA loan
FHA loans are designed for borrowers who might not qualify for conventional financing. The credit score requirements are generally lower, and the 3.5% minimum down payment makes homeownership accessible with less savings. However, the mandatory mortgage insurance adds to the overall cost.
If you have strong credit and can afford a larger down payment, a conventional loan with private mortgage insurance may be cheaper over time, since PMI can be cancelled once you reach 20% equity. For other types of borrowing, tools like the personal loan calculator or home equity loan calculator can help you compare different financing paths.
Program rules quoted here (3.5% minimum down payment with a 580 credit score, 10% down for scores of 500 to 579, MIP duration) reflect HUD guidance as of 2025 and can change. This is an estimate, not financial advice.
Worked examples
| Example | Input | Result |
|---|---|---|
| Standard 30-year FHA | Home price ($): 300000; Down payment (%): 3.5; Interest rate (%): 6.5; Loan term (years): 30; Upfront MIP (%): 1.75; Annual MIP (%): 0.55 | Base loan amount: $289,500.00; Upfront MIP: $5,066.25; Total loan amount: $294,566.25; Principal & interest: $1,861.86; Monthly MIP: $132.69; Total monthly payment: $1,994.55 |
| 15-year FHA, higher down | Home price ($): 250000; Down payment (%): 10; Interest rate (%): 5.75; Loan term (years): 15; Upfront MIP (%): 1.75; Annual MIP (%): 0.15 | Base loan amount: $225,000.00; Upfront MIP: $3,937.50; Total loan amount: $228,937.50; Principal & interest: $1,901.12; Monthly MIP: $28.13; Total monthly payment: $1,929.25 |
| Lower price, minimum down | Home price ($): 180000; Down payment (%): 3.5; Interest rate (%): 7; Loan term (years): 30; Upfront MIP (%): 1.75; Annual MIP (%): 0.55 | Base loan amount: $173,700.00; Upfront MIP: $3,039.75; Total loan amount: $176,739.75; Principal & interest: $1,175.85; Monthly MIP: $79.61; Total monthly payment: $1,255.47 |
FAQ
What is the minimum down payment for an FHA loan?
The minimum down payment is 3.5% of the purchase price for borrowers with a credit score of 580 or higher. Borrowers with scores between 500 and 579 need at least 10% down.
Is the upfront MIP included in my monthly payment?
No. The upfront MIP is a one-time charge equal to 1.75% of the base loan amount. It is typically rolled into the total loan balance rather than paid at closing, so it increases the amount you finance but does not appear as a separate line item on your monthly bill.
Can I remove FHA mortgage insurance later?
If your down payment was less than 10%, the annual MIP stays for the entire life of the loan. If you put down 10% or more, it automatically cancels after 11 years. The only way to remove it sooner on a sub-10% down loan is to refinance into a conventional mortgage.
Why do I need to enter the annual MIP rate myself?
HUD changes the annual MIP schedule periodically, and the rate varies based on your loan term and down payment amount. By letting you enter the current rate, this fha loan calculator stays accurate regardless of future policy changes.
Does this calculator include property taxes and insurance?
No. It calculates principal, interest and mortgage insurance only. Property taxes, homeowners insurance and HOA fees must be added separately to get your full housing cost.
Is my data sent anywhere when I use this tool?
No. All calculations happen locally in your browser. Nothing you type is uploaded or stored on any server.