Monthly payment on $250,000 by rate and term
Principal and interest on the $200,000 borrowed after a 20% deposit of $50,000. The rate is the single biggest lever, which is why it is worth shopping.
| Rate | 30 years | 20 years | 15 years |
|---|---|---|---|
| 5.50% | $1,135.58 | $1,375.77 | $1,634.17 |
| 6.00% | $1,199.10 | $1,432.86 | $1,687.71 |
| 6.50% | $1,264.14 | $1,491.15 | $1,742.21 |
| 7.00% | $1,330.60 | $1,550.60 | $1,797.66 |
| 7.50% | $1,398.43 | $1,611.19 | $1,854.02 |
| 8.00% | $1,467.53 | $1,672.88 | $1,911.30 |
Principal and interest only, before taxes, insurance and any PMI.
How the deposit changes it
| Down payment | Loan | P&I | PMI | PMI ends |
|---|---|---|---|---|
| 5% ($12,500) | $237,500 | $1,501.16 | $108.85 | month 135 |
| 10% ($25,000) | $225,000 | $1,422.15 | $103.13 | month 109 |
| 20% ($50,000) | $200,000 | $1,264.14 | — | not charged |
At 6.5% over 30 years. PMI applies above 80% loan-to-value and is cancelled automatically at 78%.
What $250,000 costs over the life of the loan
At 6.5% over 30 years on a $200,000 loan, the interest alone comes to $255,086 — on top of the amount borrowed. Shortening the term is the single biggest lever on that number:
| Term | Monthly (P&I) | Total interest | Interest saved |
|---|---|---|---|
| 30 years | $1,264 | $255,086 | — |
| 20 years | $1,491 | $157,874 | $97,212 |
| 15 years | $1,742 | $113,599 | $141,487 |
Paying it off over 15 years instead of 30 costs $478 more a month and saves $141,487 in interest.
What one percentage point of rate is worth here
On a $200,000 loan, going from 6.5% to 7.5% adds $134 a month — and $48,344 across the full term. At this size, a rate quote worth shopping for is worth more than most of the fees people negotiate instead.
The income a lender would look for
Lenders commonly cap housing costs at 28% of gross monthly income. On the full payment of $1,643 — principal, interest, tax, insurance — that implies roughly $70,428 a year before tax. It is a rule of thumb, not an underwriting decision: your other debts, credit score and deposit all move it. See what that salary looks like after tax.
Frequently asked questions
What is the monthly payment on a $250,000 house?
With 20% down at 6.5% over 30 years, principal and interest are $1,264.14 a month. Adding property tax and insurance brings the full payment to about $1,643.31.
How much do I need to put down on a $250,000 home?
20% is $50,000, which avoids PMI. At 5% down ($12,500) you would borrow $237,500 and pay an extra $108.85 a month in PMI until month 135.
How much interest does a $250,000 mortgage cost?
On the $200,000 borrowed at 6.5% over 30 years, total interest is $255,086 — about 128% of the amount borrowed. A 15-year term cuts that to $113,599.
Nearby prices
Related tools
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