What is the monthly payment on a 100k mortgage?

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When considering a mortgage, it is essential to understand the financial commitment involved. One of the key factors to consider is the monthly payment. In this article, we will explore what the monthly payment would be on a $100,000 mortgage. Understanding this calculation can help individuals make informed decisions when it comes to their financial planning and budgeting.

Calculating the Monthly Payment

To determine the monthly payment on a mortgage, several factors come into play. These include the loan amount, interest rate, loan term, and type of mortgage. In the case of a $100,000 mortgage, let’s assume a 30-year fixed-rate mortgage with an interest rate of 4%.

Using a mortgage calculator or a formula, we can calculate the monthly payment. The formula for calculating the monthly payment on a fixed-rate mortgage is:

Monthly Payment = P * (r * (1+r)^n) / ((1+r)^n – 1)

– P is the loan amount ($100,000 in this case)
– r is the monthly interest rate (4% divided by 12 months, or 0.04/12)
– n is the total number of monthly payments (30 years multiplied by 12 months, or 30*12)

Plugging in the values, we get:

Monthly Payment = 100,000 * (0.04/12 * (1+0.04/12)^(30*12)) / ((1+0.04/12)^(30*12) – 1)

After performing the calculation, the monthly payment on a $100,000 mortgage with a 4% interest rate over 30 years would be approximately $477.42.

Factors Affecting the Monthly Payment

While the above calculation provides an estimate, it is important to note that the monthly payment can vary based on several factors. Here are some factors that can affect the monthly payment on a mortgage:

Interest Rate: A higher interest rate will result in a higher monthly payment, while a lower interest rate will reduce the monthly payment.

Loan Term: The length of the loan term affects the monthly payment. Shorter loan terms, such as 15 years, will have higher monthly payments but lower total interest paid over the life of the loan.

Down Payment: The down payment made at the time of purchase can impact the monthly payment. A higher down payment will reduce the loan amount and, consequently, the monthly payment.

Private Mortgage Insurance (PMI): If the down payment is less than 20% of the home’s value, lenders often require PMI. This additional cost can increase the monthly payment.


In conclusion, the monthly payment on a $100,000 mortgage with a 4% interest rate over 30 years would be approximately $477.42. However, it is important to consider that this calculation is based on several assumptions and factors that can vary. Factors such as interest rates, loan terms, down payments, and PMI can all impact the monthly payment on a mortgage. It is advisable to consult with a mortgage professional to get an accurate estimate based on individual circumstances.


– Investopedia: www.investopedia.com
– Bankrate: www.bankrate.com
– The Balance: www.thebalance.com