Conventional Loan Calculator

See your full conventional payment with PMI included, when PMI ends, and where your DTI lands against Fannie Mae and Freddie Mac guidelines, using the same math a lender runs.

Home Loan Details

Home Purchase Price iThe purchase price of the home you are buying, before any down payment.

Fannie Mae and Freddie Mac cap how big a conforming loan can be, and the cap is set county by county. Pick your state to see its 2026 range, and look up your exact county at FHFA's site.

State iThe state where the home is located. It drives the conforming loan limit check below the loan readouts, and it estimates your state income tax in the leftover money view. Conforming limits are set county by county, so confirm yours at FHFA's lookup.

Down Payment iWhat you are putting down, as a percent of the price or a dollar amount.

Conventional minimums:
First-time buyers: 3% down
Most repeat buyers: 5% down

You do not need 20% down. 20% only means no PMI. Under 20%, PMI is added to the payment, and this calculator prices it for you.

Credit Score iConventional loans need a 620 minimum score, and unlike FHA, the price climbs step by step as scores drop: your rate and your PMI both get more expensive band by band. Your band here drives the PMI estimate.

Under 620, FHA is usually the play. It allows scores down to 500.

Interest Rate iYour quoted annual interest rate. No quote yet? Use a current market estimate for a realistic payment. Check daily rates to get a good average. Click here.

Loan Term iThe loan length in years. Most buyers use 30 years. Shorter terms mean a higher payment, less total interest, and faster equity, which also ends PMI sooner.

yrs

Loan Amount iPurchase price minus your down payment. Conventional loans have no upfront mortgage insurance fee to roll in, so unlike FHA, what you borrow is exactly what you owe on day 1.

$380,000

Loan-to-Value iYour loan divided by the home's price. LTV decides whether you pay PMI at all (above 80%) and how much. Along with your credit score, it is the biggest lever on your PMI rate: crossing under 95%, 90%, or 85% each steps the rate down.

95.0%

Principal & Interest

$2,339.73/mo

Monthly Housing Costs

Property Taxes iEnter property taxes as a percent of the purchase price per year, or tap $/mo to enter the exact monthly amount from a tax bill or listing. Most areas fall between 1% and 2% per year.

= $500/mo

Homeowner's Insurance iEnter homeowner's insurance as a percent of the purchase price per year, or tap $/mo to enter a real quote. A common estimate is about 0.5% per year.

= $167/mo

HOA Dues iHomeowners association dues, if the property has an HOA. Some HOAs bill quarterly or annually, so tap /yr to enter the annual total instead. Leave it at 0 if there is none.

Other (flood insurance, etc.) iAny other monthly housing cost, such as flood insurance or a special assessment. Leave it at 0 if none apply.

Monthly PMI iPrivate mortgage insurance, required under 20% down. Estimated from typical borrower-paid monthly PMI pricing for your credit band and LTV. Your exact quote depends on the insurer and your full file, and lenders shop several insurers, so treat this as a realistic middle.

$167.83/mo

Annual PMI Rate

0.53%

PMI Ends iPMI is temporary by law. It cancels automatically when your balance is scheduled to reach 78% of the original value, and you can request cancellation at 80%. This readout shows the automatic date on your amortization schedule. With appreciation and 2 years of payments, many owners cancel years sooner through a value review with their servicer.

About 11 yrs

Income iAdd every income source you receive. All of it counts toward your DTI. Employment income, military base pay, retirement, second jobs, and self-employment are taxable and drive the estimated income taxes. BAH, BAS, VA disability, Social Security, and child support are non-taxable. Conventional guidelines let a lender gross up non-taxable income by 25% in the DTI calculation, and this calculator applies the same boost. Rental income is counted at 75%, the same haircut a lender applies.

Total Monthly Income

$11,000

Est. Income Taxes iEstimated the way a lender runs a quick paycheck check: 2026 federal brackets and standard deduction, Social Security and Medicare, plus an approximate state income tax for your state, calculated on a monthly basis with zero adjustments. Non-taxable income is excluded. Local taxes are not included.

Conventional loans qualify you on gross income, so taxes never change your DTI. They are here so you can see what is actually left over each month.

$2,543/mo

Effective Tax Rate

23.1%

Monthly Liabilities iThe minimum monthly payments that show on your credit report: car loans, credit cards, student loans, and similar. Use the minimum due, not what you actually pay. Do not include utilities, insurance, or the home you are buying.

Total Monthly Debts

$500/mo

Total Monthly Payment

$3,174.58

Principal, interest, taxes, insurance, PMI, HOA, and other

Front-End (Housing) Ratio iYour full house payment, including PMI, divided by gross monthly income. The classic conventional rule of thumb is 28%, but Fannie Mae and Freddie Mac set no hard front-end cap. Automated underwriting looks at the total DTI below, so treat 28% as a comfort marker, not a wall.

28.86%

28.9% used28% rule of thumb, no hard cap

Back-End (Total DTI) Ratio iYour house payment plus all monthly debts, divided by gross monthly income. 36% is the classic conventional guideline, and with an Approve/Eligible from automated underwriting, conventional loans close up to 50% DTI every day. Non-taxable income is grossed up 25% in this math, the same boost conventional guidelines allow a lender.

33.41%

33.4% used36% standard / 50% AUS max

PASS

Fits conventional's classic 36% DTI guideline

Where Your Income Goes iYour gross monthly income, split the way your budget actually feels it. The bright slice is what is left after estimated income taxes, the full house payment including PMI, and monthly debts. Underwriting does not check this number, but it is the one your family lives on.

$4,782

left over/mo

Housing payment$3,175

Income taxes (est.)$2,543

Monthly debts$500

Left over$4,782

The math: gross income minus estimated taxes, the full house payment including PMI, and monthly debts. Underwriting never checks what is left over, but you should.

Understand Your Numbers

What is private mortgage insurance?

PMI protects the lender on conventional loans with less than 20% down, and it is the trade that lets you buy now with 3% or 5% down instead of saving for a decade. It typically runs about 0.2% to 1.9% of the loan per year based on your credit score and LTV. There is no upfront premium like FHA's 1.75%, and lenders shop several private insurers for your price.

The 28/36 rule, and how far it bends

The classic conventional guideline is 28% of gross income for the house payment and 36% with all debts included. Only one of those has teeth: Fannie Mae and Freddie Mac set no hard front-end cap, and with an Approve/Eligible from automated underwriting, total DTIs up to 50% get approved every day. Treat 28/36 as the comfort zone, not the cutoff.

Failing? Pull these levers

Pay down monthly debts. Every minimum payment you eliminate drops your back-end DTI directly.
Climb one credit band. Your rate and your PMI both price off your score, so a 20 point jump can shrink the payment twice.
Put more down, or spend less. Both cut the payment, and crossing under 95%, 90%, or 85% LTV steps your PMI rate down too.
Add a co-borrower. Conventional allows non-occupant co-borrowers, so a parent or family member's income can help you qualify without living there.

PMI is temporary by design

PMI cancels automatically when your balance is scheduled to reach 78% of the original value, and you can request cancellation at 80%. Appreciation can get you there years early: after 2 years of payments, your servicer can cancel based on a new value review once your equity clears 20%. That cancelability is conventional's biggest edge over FHA, where most buyers carry mortgage insurance until they refinance out of it.

Ready for real numbers?

You ran the numbers. Now get them verified.

A preapproval turns this estimate into an exact rate, an exact PMI quote, and a budget you can shop with. It costs nothing, and it does not lock you into anything.

Book a Free Consultation Visit Payne Home Loans

This calculator is an educational estimate, not a loan approval, a preapproval, or financial advice. It models typical borrower-paid PMI pricing and conventional DTI guidelines, but PMI quotes vary by insurer and full credit profile, a lender verifies your complete file: income, assets, liabilities, credit, and payment history, and may apply its own overlays. Taxes and insurance figures are estimates that vary by property and location, and conforming loan limits vary by county. Confirm your numbers with a licensed loan officer before making decisions.

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