Mortgage Payoff Calculator
Enter your balance, rate and remaining term, then add an extra monthly payment or a one-time lump sum. The calculator shows when the loan ends, how many months you save and how much interest you avoid.
Last updated November 4, 2026
Example value; use the rate on your statement.
Years plus months can total at most 50 years (600 months).
Leave blank to use the scheduled payment for the term above.
Shows the extra monthly amount needed to finish in this many years.
Result
Debt-free in 21 years
| Result | Amount |
|---|---|
| Monthly payment (P&I) | $1,199.10 |
| Payoff time without extra | 30 years |
| Payoff time with extra | 21 years |
| Time saved | 9 years |
| Interest without extra | $231,676.38 |
| Interest with extra | $151,875.87 |
| Interest saved | $79,800.51 |
Estimate for principal and interest only. Extra payments go entirely to principal, and your lender must apply them that way. Escrow, PMI and any prepayment penalty are not included.
Show the work
Formula: payment = B × r ÷ (1 - (1 + r)^-n); each month interest = balance × r, principal = payment + extra - interest; r = rate ÷ 12
- Remaining term: 30 × 12 + 0 = 360 months. Monthly rate r = 6% ÷ 12 = 0.5000%.
- Scheduled payment on $200,000.00 over 360 months = $1,199.10.
- Regular payments only: 30 years (360 payments), total interest $231,676.38.
- With $200.00 extra each month: 21 years (252 payments), total interest $151,875.87.
- Saved: 360 - 252 = 108 months; $231,676.38 - $151,875.87 = $79,800.51 interest.
Result: Mortgage payoff: with $200.00/month extra, the loan is paid off in 21 years instead of 30 years. That saves 9 years and $79,800.51 of interest (total interest $151,875.87 vs $231,676.38).
How extra payments pay off a mortgage sooner
payment = B × r ÷ (1 - (1 + r)^-n)
interest = balance × r
principal paid = payment + extra - interest
A fixed-rate mortgage payment is set so the balance reaches zero after n monthly payments. B is the current balance, r is the annual rate divided by 12 and n is the months left. That is the standard amortization formula for a fixed-rate loan.
Each month the lender charges interest on the outstanding balance, which is balance times r. The rest of your payment reduces principal. Early on, most of the payment is interest. An extra dollar sent to principal removes the balance that would have been charged interest every month afterwards, which is why extra payments pay off so well.
The calculator keeps your regular payment fixed and adds the extra amount on top of it every month. A one-time payment is applied to principal before the first payment. It then runs the loan month by month until the balance reaches zero, trimming the last payment to what is actually owed. Interest saved is total interest without extra payments minus total interest with them.
See how we calculate for the formulas, sources and review schedule behind every calculator.
Also useful alongside this calculator: Down Payment Calculator, Closing Cost Calculator and Home Affordability Calculator.
How much extra to be debt-free by a target year
Enter a target in years and the calculator works backwards. It finds the payment that would clear your balance, after any one-time payment, in exactly that many months, and subtracts your regular payment. The difference is the extra amount you need every month, rounded up to the next cent so you finish on time or slightly early.
On the example loan of $200,000 at 6% with 30 years left, finishing in 20 years takes about $233.77 extra a month, and finishing in 15 years takes about $488.62. If your current pace already finishes on or before the target, the answer is $0.
Things to check before you prepay
Ask your servicer to apply extra money to principal and to record it for the current month. Some servicers hold unlabeled extra funds until the next due date. Check whether your loan has a prepayment penalty, which some loans include.
Paying down a mortgage is a trade-off. The return is the interest rate you avoid, and it is guaranteed, but the money is tied up in the house. This calculator shows the mortgage side of that choice only.
Limits and edge cases
The balance must be above $0 and the rate from 0% to 100%. Remaining time is entered in years and months, from 1 to 600 months in total. If you type your own monthly payment, it must be larger than one month of interest, or the balance would never fall. A one-time payment equal to or above the balance ends the loan at once.
Results cover principal and interest only. Property tax, homeowners insurance, mortgage insurance and fees are not included, and rates that change, such as an adjustable-rate mortgage, are not modelled.
General information, not financial advice
This calculator gives a general estimate from the numbers you enter. It is not financial or tax advice, and your actual results can differ. Check important decisions with a qualified professional or the official source.
Sources
Official and primary sources for the statements on this page. Their authors have not reviewed or endorsed this page.
- Consumer Financial Protection Bureau, What is a prepayment penalty? (ask-cfpb, en-1957). Defines a prepayment penalty as a fee some lenders charge if you pay off all or part of your mortgage early, says not all mortgages have one, and says it typically applies only when the whole balance is paid off in the first few years, not to small extra principal payments, which you should confirm with your lender.
- Consumer Financial Protection Bureau, Your mortgage servicer must comply with federal rules. Says to check whether your loan allows extra principal payments and to make sure they are applied to principal, that a servicer generally has seven business days to answer a written payoff-cost request, and that your periodic statement shows the penalty for paying off early, if there is one.
Official information: both CFPB pages were opened and read on 2026-11-04. They back the prepayment-penalty, extra-principal and payoff-statement statements above. They give no payoff formula and no figures used in the calculator.
Calculator method: payment, interest and payoff time come from the standard fixed-rate amortization formula in the Formula section, applied month by month. These are our calculations, not figures published by the CFPB.
Assumptions and estimates: the $200,000 balance, 6% rate and extra payments in the worked example are example inputs, not market rates. The statement that some servicers hold extra funds until the next due date is general advice and is not taken from the sources above. Your loan contract and servicer decide how extra payments are applied and whether a penalty applies. This is an estimate, not a payoff quote.
How to use the Mortgage Payoff Calculator
- Enter your current loan balance, interest rate and the years and months left.
- Leave the payment blank to use the scheduled payment, or type the P&I amount from your statement.
- Add an extra monthly payment, an optional one-time payment, or both.
- Optionally enter a debt-free target in years to see the extra amount it requires.
- Read the payoff time, time saved and interest saved, then open Show the work to follow each step.
Worked example
A $200,000 balance at 6% with 360 months left has a payment of $1,199.10. The table shows the same loan with different extra monthly payments.
| Extra per month | Payoff time | Total interest | Interest saved |
|---|---|---|---|
| $0 | 30 years | $231,676.38 | $0.00 |
| $100 | 24 years 7 months | $182,537.97 | $49,138.41 |
| $200 | 21 years | $151,875.87 | $79,800.51 |
| $500 | 14 years 11 months | $102,534.54 | $129,141.83 |
Frequently asked questions
How much interest can I save by paying extra on my mortgage?
It depends on the balance, rate and how early you start. On $200,000 at 6% over 30 years, an extra $200 a month saves about $79,800 and shortens the loan by 9 years.
Is one extra payment a year better than extra every month?
Both reduce principal. Extra paid earlier saves slightly more interest than the same total paid later, so a monthly extra usually beats a single yearly lump sum of equal size.
Does the calculator work if my rate is 0%?
Yes. With 0% interest there is no interest to save, but extra payments still shorten the loan. The payment is the balance divided by the months left.
Will extra payments lower my monthly payment?
Not by themselves. Your required payment stays the same and the loan simply ends sooner. Lower payments need a recast or refinance, which this calculator does not model.
Why is my result different from my lender’s payoff statement?
The calculator uses whole-month interest on a fixed rate. Lenders may charge per-diem interest, change the rate, apply extra funds on a different date or add fees.