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FHA Loan Calculator

U.S. only tools

An FHA loan is a mortgage insured by the Federal Housing Administration and issued by a private lender. Because the government backs the lender against default, FHA loans accept a down payment as low as 3.5 percent of the purchase price and are a common path for first-time buyers with credit scores that conventional loans struggle to price. In exchange, borrowers pay mortgage insurance in two parts: an upfront premium (UFMIP) and an annual premium (MIP), and this calculator includes both.

FHA Loan Calculator - Danfio

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The contract price; both the 3.5% minimum down payment and the upfront MIP are figured from it.

FHA requires at least 3.5% of the purchase price on most purchases, and anything below that is treated as 3.5%. A bigger down payment lowers the balance and the monthly payment, but it does not remove the mortgage insurance premium on the standard FHA program.

Annual mortgage insurance premium as a percentage of the mortgage. Rates current as of 2026: 0.55% for 30-year loans with up to 5% down, 0.50% over 5% down, and 0.15% for 15-year terms. The monthly premium is 1/12 of the annual rate on the initial amount in this first-year estimate.

The note rate on the FHA loan; it applies to a balance that already includes the upfront MIP.

30 years is standard; a 15-year term carries a lower annual MIP tier and far less interest.

Used to label the amortization schedule.

Results update as you type. Nothing leaves your device.

Currency symbol

Symbol only - nothing is converted and no exchange rate is used. Figures quoted in the explanation text stay as the sources publish them.

Estimated monthly FHA payment

$2,326.97

$2,172.17 principal and interest on $343,661 financed at 6.5% over 30 years, plus an estimated $154.80 mortgage insurance premium.

Amount financed
$343,661
Upfront MIP (1.75%)
$5,911
Total interest
$438,320.19
Payoff month
Oct 2056

Loan summary

Home price
$350,000
Down payment
$12,250 3.5% of price
Base loan
$337,750 price less down payment
Annual MIP (first year)
$1,858 0.55% of base loan

What the financed amount is made of

  • Base loan$337,750.00
  • Upfront MIP (1.75%)$5,910.63

UFMIP is 175 basis points (1.75%) of the Base Loan Amount - the price less the down payment - and HUD Handbook 4000.1 applies it to all mortgages. It is financed into the balance here, which is how most FHA loans are closed.

Amortization schedule

YearPaymentsInterestPrincipalBalance
Year 1$26,066$22,225$3,841$339,819
Year 2$26,066$21,968$4,098$335,721
Year 3$26,066$21,693$4,373$331,348
Year 4$26,066$21,400$4,666$326,682
Year 5$26,066$21,088$4,978$321,704
Year 6$26,066$20,754$5,312$316,392
Year 7$26,066$20,399$5,667$310,725
Year 8$26,066$20,019$6,047$304,678
Year 9$26,066$19,614$6,452$298,226
Year 10$26,066$19,182$6,884$291,342
Year 11$26,066$18,721$7,345$283,997
Year 12$26,066$18,229$7,837$276,160
Year 13$26,066$17,704$8,362$267,798
Year 14$26,066$17,144$8,922$258,877
Year 15$26,066$16,547$9,519$249,357
Year 16$26,066$15,909$10,157$239,200
Year 17$26,066$15,229$10,837$228,363
Year 18$26,066$14,503$11,563$216,800
Year 19$26,066$13,729$12,337$204,463
Year 20$26,066$12,903$13,164$191,300
Year 21$26,066$12,021$14,045$177,255
Year 22$26,066$11,080$14,986$162,269
Year 23$26,066$10,077$15,989$146,280
Year 24$26,066$9,006$17,060$129,219
Year 25$26,066$7,863$18,203$111,017
Year 26$26,066$6,644$19,422$91,595
Year 27$26,066$5,344$20,722$70,872
Year 28$26,066$3,956$22,110$48,762
Year 29$26,066$2,475$23,591$25,171
Year 30$26,066$895$25,171$0

The schedule covers principal and interest only - the annual MIP is not folded into the balance. Yearly totals are rounded to the nearest dollar; download the CSV for all 360 rows.

The total is principal, interest and an estimated first-year mortgage insurance premium. The real MIP is charged monthly on the declining balance, so the running total here slightly overstates it, which keeps comparisons conservative. Property tax, homeowners insurance and HOA dues are separate. Paying the 1.75% UFMIP at closing instead of financing it lowers the monthly payment but costs more out of pocket.

Every result is computed in your browser. Nothing you type is uploaded, stored or shared, so you can try different prices, down payments, rates and terms without worrying about who sees the numbers.

About this fha loan calculator

Government backing is what lets an FHA loan take a down payment as low as 3.5 percent, and the price of that backing is mortgage insurance paid in two parts. This page includes the upfront premium of 1.75 percent of the base loan and the annual premium charged in twelve monthly installments.

Nothing you type is uploaded, stored or shared — the calculation runs locally in your browser. Principal and interest come from the standard amortization formula M = P × i / (1 − (1 + i)^−n), the annual premium is applied to the initial mortgage amount and divided by twelve, and the upfront premium is financed at the base-loan rate.

Read the HUD tiers before assuming a larger down payment removes the insurance. Condominium approval, county loan limits, closing costs, property-tax and insurance escrows sit outside the model, and the annual premium declines as the balance is paid down. An estimate, not financial advice; your lender's Loan Estimate overrides it.

How this fha loan calculator works

The payment formula

Principal and interest come from the standard amortization formula M = P x i / (1 - (1 + i)^-n), where P is the financed balance, i is the monthly interest rate and n is the number of monthly payments. The monthly mortgage insurance premium is estimated separately and added on top.

Because interest is charged on the remaining balance, the first payment goes almost entirely to interest. On a $343,661 financed balance - a $337,750 base loan ($350,000 with 3.5% down of $12,250) plus a $5,911 upfront premium - about $1,861 of the first payment is interest at 6.5%.

The 3.5 percent minimum down payment

HUD Handbook 4000.1 sets the minimum down payment for an FHA purchase at "at least 3.5 percent of the Adjusted Value". For a purchase the base loan amount is the price less your down payment, so the calculator uses exactly that percentage of the price.

The 3.5% floor applies to most purchases. A higher down payment does not remove the mortgage insurance premium on the standard FHA program, so the main thing a larger down payment buys you is a smaller balance - and therefore a lower monthly payment, less interest and, on 15-year terms, a shorter time carrying MIP.

The 1.75 percent upfront mortgage insurance premium

UFMIP is, in the handbook's words, "175 basis points (bps) (1.75%) of the Base Loan Amount" - the loan you are taking, not the price of the home - and it applies to all FHA-insured mortgages. On a $337,750 base loan the premium is $5,911.

The premium can be paid in cash at closing or financed into the loan. Financing it raises both the balance and the interest charged on it, but costs nothing out of pocket; this calculator finances it, which is how most FHA loans are closed.

The annual mortgage insurance premium

On top of UFMIP, an FHA loan carries an annual MIP charged in 12 equal monthly payments. Rates current as of 2026: 0.55% for 30-year loans with 5% or less down, 0.50% for 30-year loans over 5% down, and 0.15% for 15-year terms regardless of the down payment.

The MIP is charged on the outstanding balance each month, so it declines as the loan is paid down. For a first-year estimate this page applies the annual rate to the initial mortgage amount and divides by 12 - a slightly high estimate that keeps comparisons conservative.

The premium that outlasts the equity

On an FHA loan the mortgage insurance is not a temporary cost that disappears at 20% equity the way it can on a conventional loan. For most 30-year FHA loans written with the minimum down payment, the annual premium runs for the life of the loan, and the only way out is to refinance into another program.

That changes what the down payment is for. Putting more than 10% down lowers the annual MIP tier and the balance, and it opens a different exit: once the loan is low enough relative to the value, a conventional refinance can drop the premium entirely. Paying 3.5% and staying there leaves both the premium and that exit waiting on the value of the house.

So compare an FHA offer with a conventional one on the total monthly cost, not the rate. The FHA rate is often lower, and the premium frequently eats that advantage over the first several years - the two lines the hero prints are the ones to add up.

Worked examples

Each example below was run through the calculator on this page when the site was built, so the numbers match what you see when you enter the same inputs.

First-time buyer at the 3.5% floor

Home price: $350,000.00 · Down payment: 3.5% · Annual MIP rate: 0.55% · Interest rate: 6.5% · Loan term: 30 years · First payment month: Oct 2026

Estimated monthly FHA payment

$2,326.97

$2,172.17 principal and interest on $343,661 financed at 6.5% over 30 years, plus an estimated $154.80 mortgage insurance premium.

Amount financed: $343,661 · Upfront MIP (1.75%): $5,911 · Total interest: $438,320.19 · Payoff month: Sep 2056

3.5% down ($12,250) plus a $5,911 upfront premium on the $337,750 base loan.

Reaching 10% down

Home price: $400,000.00 · Down payment: 10% · Annual MIP rate: 0.5% · Interest rate: 6.5% · Loan term: 30 years · First payment month: Oct 2026

Estimated monthly FHA payment

$2,465.27

$2,315.27 principal and interest on $366,300 financed at 6.5% over 30 years, plus an estimated $150.00 mortgage insurance premium.

Amount financed: $366,300 · Upfront MIP (1.75%): $6,300 · Total interest: $467,195.46 · Payoff month: Sep 2056

Above 5% down, the 30-year annual MIP drops from 0.55% to 0.50%.

A 15-year term with the low 0.15% MIP

Home price: $300,000.00 · Down payment: 5% · Annual MIP rate: 0.15% · Interest rate: 5.75% · Loan term: 15 years · First payment month: Oct 2026

Estimated monthly FHA payment

$2,443.72

$2,408.09 principal and interest on $289,988 financed at 5.75% over 15 years, plus an estimated $35.63 mortgage insurance premium.

Amount financed: $289,988 · Upfront MIP (1.75%): $4,988 · Total interest: $143,467.88 · Payoff month: Sep 2041

15-year terms carry the 0.15% annual MIP at every down payment.

Higher down payment, lower monthly commitment

Home price: $500,000.00 · Down payment: 20% · Annual MIP rate: 0.5% · Interest rate: 6% · Loan term: 30 years · First payment month: Oct 2026

Estimated monthly FHA payment

$2,606.84

$2,440.17 principal and interest on $407,000 financed at 6% over 30 years, plus an estimated $166.67 mortgage insurance premium.

Amount financed: $407,000 · Upfront MIP (1.75%): $7,000 · Total interest: $471,461.43 · Payoff month: Sep 2056

A larger down payment shrinks the base loan, the 1.75% UFMIP and the interest - but the annual MIP stays for the life of the loan.

Frequently asked questions

How much down payment do I need for an FHA loan?

At least 3.5 percent of the purchase price for most purchases, per HUD Handbook 4000.1. That is the minimum a lender can accept; a bigger down payment lowers your base loan, your upfront and annual mortgage insurance, and your monthly payment, but it does not remove the mortgage insurance premium on the standard FHA program.

Is the 1.75% UFMIP based on the price or the loan amount?

On the loan amount. The upfront premium is 175 basis points of the Base Loan Amount - the purchase price less your down payment - before the premium itself is added. On a $300,000 home with 3.5% down, the base loan is $289,500, so 1.75% works out to $5,066, not $5,250.

Can UFMIP be paid at closing instead of financed?

Yes. Paying the 1.75% upfront premium in cash at closing keeps it out of the balance, which lowers your monthly payment and the interest you pay over the life of the loan. Financing it costs nothing at closing but adds to the balance and accrues interest - the choice is between cash out of pocket now and more paid over time.

Does the annual MIP ever disappear on an FHA loan?

On most loans originated after June 3, 2013, the annual MIP lasts for the life of the loan regardless of how much equity you build - one of the reasons FHA borrowers often refinance into a conventional loan once they have 20 percent equity. 15-year terms are a partial exception and can drop MIP once the balance falls below certain thresholds.

How is the monthly MIP estimated here?

The annual MIP rate is applied to the initial mortgage amount and divided by 12 for a first-year estimate. On the real loan the premium is charged monthly against the declining balance, so it gets slightly smaller every month; this page's flat estimate is a small overstatement, which keeps any comparison conservative.

Assumptions and sources

  • UFMIP 175 bps (1.75%) of the Base Loan Amount and the 3.5% minimum down payment: HUD Handbook 4000.1, the FHA Single Family Housing Policy Handbook (print pages 1044 and 181).
  • Annual MIP tiers: the FHA mortgage insurance premium schedule, current as of 2026 (0.55% / 0.50% / 0.15% tiers).
  • Amortization formula: the standard annuity formula used for closed-end loans under the US Truth in Lending Act (Regulation Z). The UFMIP is financed at the same rate as the base loan.

Last reviewed 2026-10-28. An estimate, not financial advice; your lender's Loan Estimate overrides it. Read the full disclaimer.

Where a figure on this page comes from an official agency — HUD, IRS, FICO or a state body — the site keeps a dated snapshot of the source page in its sources library, and a scheduled job re-checks that snapshot, so the number can be traced back to the document it came from.

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