Prepay Mortgage Calculator to Calculate Mortgage Payoff Savings

Monthly Prepay Mortgage Calculator Sign

This calculator will calculate the time and interest you will save if you prepay your mortgage by adding a prepayment amount to your current house payment.

Plus, the calculated results will include a year-by-year balance comparison chart so you can compare the year-end balances of your original mortgage terms with the year-end balances that will result from making your monthly prepayment amount.

If you would rather calculate the size of the monthly prepayment needed to pay off your mortgage within specified time frame, please visit the Early Mortgage Payoff Calculator.

Or if you would like to calculate the savings for a combination of one-time, monthly, and annual prepayments, please visit the Extra Payment Mortgage Calculator.

Or, if you don't plan to stay in your current home until the mortgage is paid off, please visit the Mortgage Savings Calculator to calculate prepayment savings for partial home loan terms.

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Monthly Prepay Mortgage Calculator

Calculate mortgage prepayment savings, plus the number of payments you will shorten your payoff term by.

Special Instructions

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Selected Data Record:

A Data Record is a set of calculator entries that are stored in your web browser's Local Storage. If a Data Record is currently selected in the "Data" tab, this line will list the name you gave to that data record. If no data record is selected, or you have no entries stored for this calculator, the line will display "None".

DataData recordData recordSelected data record: None
Orig loan:Original loan:Original loan amount:Original home loan amount:

Original home loan amount:

Enter the dollar amount of the original home loan (principal borrowed) without the dollar sign.

Rate:Interest rate:Annual interest rate:Annual interest rate:

Annual interest rate:

Enter the annual percentage rate (APR) of the home loan without the percent sign (for 6.5%, enter 6.5).

Orig years:Original years:Original term in years:Original home loan term in number of years:

Original home loan term in number of years:

Enter the original repayment term of the house loan in number of years (whole years only, i.e., no decimal point).

Pmts made:# pmts made:Number of payments made:Number of payments already made:

Number of payments already made:

Enter the number of monthly house payments you have already made. If you have not made any payments, leave blank or enter a zero.

Prepay:Monthly prepay:Monthly prepayment amount:Monthly mortgage prepayment amount:

Monthly mortgage prepayment amount:

Enter the monthly amount you can afford to add to your existing payment to prepay your mortgage, without the dollar sign.

Payoff:Current payoff:Current payoff amount:Current mortgage payoff amount:

Current mortgage payoff amount:

Based on your entries, this is how much you still owe (principal balance) on your home loan after deducting all of the principal payments you have already made.

Crnt pmt:Current pmt:Current monthly payment:Current monthly P & I payment:

Current monthly principal and interest payment:

Based on your entries, this is the amount of your current monthly principal and interest (PI) payment. This does not include property tax or insurance payments.

New pmt:New payment:New monthly payment:New monthly principal and interest payment:

New monthly principal and interest payment:

Based on your entries, this is your current monthly payment plus the prepayment amount you entered in the top section of the prepay mortgage calculator.

Month save:Months saved:Prepayment months saved:Months saved by making monthly prepayment:

Months saved by making monthly prepayment:

Based on your entries, this is the number of months you will shorten your repayment term by if you add the entered prepayment to your mortgage each and every month.

Int save:Interest savings:Prepayment interest savings:Interest saved by making monthly prepayment:

Interest saved by making monthly prepayment:

Based on your entries, this is how much interest you will save if you prepay your mortgage by the monthly prepayment you entered.

If you would like to save the current entries to the secure online database, tap or click on the Data tab, select "New Data Record", give the data record a name, then tap or click the Save button. To save changes to previously saved entries, simply tap the Save button. Please select and "Clear" any data records you no longer need.

Help and Tools


Things to consider before prepaying, and what causes prepayment plans to fail.

Things to Consider Before You Prepay Your Mortgage

Other Higher Interest Debt

If you have other debts that have a higher interest rate than your mortgage, you will save a lot more money if you pay off the higher-interest debt first, and then redirect those higher-interest debt payments to paying off your mortgage.

Employer 401K Match

If your employer matches all or part of your 401K contributions, you might come out ahead by contributing the prepayments to your 401K instead. So be sure to run your plans past a qualified financial planner (one who will not be earning commissions from your investments, and who is not trying to sell you life insurance) before starting your mortgage prepayment plan.

Prepayment Penalties

Check with your lending institution to make sure you can prepay your mortgage without penalty. Believe it or not, there are lending institutions out there that will fine you for tampering with their forecasted profit margins -- despite the fact that they will still make a ton of money on your home loan.

Escrowing Prepayments

Also, check with our mortgage lender to make sure they won't just escrow your prepayments and apply them at the end of the loan instead of as you make them.

Can You Really Afford to Prepay Your Mortgage?

In my experience, most home buyers enter into mortgages based solely on whether or not they can afford to make the monthly payment. And while the monthly payment typically includes property tax and insurance payments, it does not include the other ongoing costs that come with owning a home.

Although some people do include the ongoing cost of utilities in their "how much house can I afford?" equation, what gets most people into trouble is that they assume that everything that comes with the home, or is later added to the home, will all last forever.

In other words, they fail to consider "depreciation expenses" when determining whether or not they can afford to buy a particular home. This results in buying more home than they can actually afford.

What Causes Mortgage Prepayment Plans to Fail?

Whether you choose to acknowledge depreciation or not, everything other than the land the home sits on will eventually wear out and need replacing. And while the foundation and basic structure of the home may last for generations, nearly everything else will need to be repaired, upgraded, or replaced an average of once every 15 years.

This list includes things like appliances, furniture, fixtures, heating and cooling units, floor coverings, roof coverings, wall coverings, septic systems, pavement, powered lawn equipment, and so on (all commonly referred to as "depreciable assets").

The reason I point this out is that failing to account for the repair and replacement of depreciable assets is what causes most mortgage prepayment plans to fail.

After all, if you have not made an honest effort to forecast the depreciation expenses of your home's depreciable assets, and/or you are not setting aside funds to cover those costs as they occur, the "extra" funds you are using to prepay your mortgage are not really "extra" at all. And if that's the case, all the money you thought you would save by prepaying your mortgage will be wiped out when you are forced to take out a second mortgage to replace all of the depreciable assets you failed to budget for.

No Compass Vs. A Faulty Compass

In my experience, the two biggest reasons people fail to achieve their financial dreams are:

  1. Not having any financial plan for the future.
  2. Following an ill-conceived financial plan that is destined to fail.

In my opinion, following a financial plan that is destined to fail is worse than having no plan at all.

Why? Consider this analogy ...

If you were lost in the woods, which would be worse; having no compass at all, or having a compass only to find out after days of heading "due North" that the compass had been making ever-changing, slight miscalculations as to which direction was North?

I would argue that not having a compass would serve you better than having a faulty compass, because if you had no compass at all you probably would have been a lot more careful in attempting to find your way out (following the sun, leaving breadcrumb trails, marking trees for walking in a straight line, etc.).

The same is true of personal financial management. If you are blindly following a plan that is unknowingly leading you to walk in financial circles, or walk deeper into the financial woods (debt), you will likely end up more lost and disappointed than if you had no plan at all ... because you will not be proceeding with the same level of cautionary decision-making.

If you agree that making plans that are destined to fail will likely result in greater loss and disappointment, and if you are not faithfully setting aside the funds needed to replace your depreciable assets as they wear out, you might consider setting aside your prepayments to cover depreciation expenses instead of using them to "temporarily" prepay your mortgage.

Adjust Calculator Width:

Move the slider to left and right to adjust the calculator width. Note that the Help and Tools panel will be hidden when the calculator is too wide to fit both on the screen. Moving the slider to the left will bring the instructions and tools panel back into view.

Also note that some calculators will reformat to accommodate the screen size as you make the calculator wider or narrower. If the calculator is narrow, columns of entry rows will be converted to a vertical entry form, whereas a wider calculator will display columns of entry rows, and the entry fields will be smaller in size ... since they will not need to be "thumb friendly".

Show/Hide Popup Keypads:

Select Show or Hide to show or hide the popup keypad icons located next to numeric entry fields. These are generally only needed for mobile devices that don't have decimal points in their numeric keypads. So if you are on a desktop, you may find the calculator to be more user-friendly and less cluttered without them.

Stick/Unstick Tools:

Select Stick or Unstick to stick or unstick the help and tools panel. Selecting "Stick" will keep the panel in view while scrolling the calculator vertically. If you find that annoying, select "Unstick" to keep the panel in a stationary position.

If the tools panel becomes "Unstuck" on its own, try clicking "Unstick" and then "Stick" to re-stick the panel.