Mortgage Calculator in California

fact checked icon

Updated: October 21, 2024

Advertising & Editorial Disclosure

In California, Modoc County has the lowest median monthly mortgage payment at $1,060, while San Mateo County has the highest at $9,930. This range in monthly mortgage payments can significantly affect your short-term budget and long-term financial health, impacting your ability to save and invest for the future.

Use MoneyGeek's mortgage calculator in California to estimate your monthly mortgage payment, determine which loan term suits your financial situation better and see how much interest you pay over your loan's lifetime.

Mortgage Calculator

Simply estimate your California loan payments, taxes and PMI.

Updated: Sep 4, 2024

Fact Checked

Please enter a valid US Zip Code
30-Year Fixed

Optional: add taxes, insurance, HOA Fees

Bar Chart Icon

Next Steps

Get personalized mortgage rates from California.

Shield Insurance

Why You Can Trust MoneyGeek

Although MoneyGeek partners with some of the companies we recommend, our content is written and reviewed by an independent team of writers, editors and licensed agents. Learn more about our editorial policies and expert editorial team.

Key Takeaways

blueCheck icon

In California, Modoc County has the lowest median monthly mortgage payment at $1,060, while San Mateo County has the highest at $9,930.

blueCheck icon

Using a mortgage calculator can help you find a monthly mortgage payment that fits your budget, adjust loan terms or down payments and estimate your total interest over the loan's life.

blueCheck icon

The average APR for a 30-year mortgage in California is 6.0%, and for a 15-year mortgage, it is 5.4%.

MoneyGeek uses publicly available data from Zillow for the rates on this page. Mortgage rates shift daily, and we take a snapshot to analyze rate information for California. We update the data frequently to ensure you have access to the most recent rates, but the values may differ slightly between reporting sources. Unless otherwise stated, all rates are annual percentage rates (APRs).

See the sources cited for more details about data related to median mortgage payments, home prices, down payments and local tax rates.

recency icon

Interest rate data was last updated in September 2024.

How to Use Our California Mortgage Calculator

MoneyGeek's mortgage calculator in California can help you calculate your monthly mortgage payments and determine your mortgage's affordability. You'll also understand your amortization schedule, providing a clear financial path ahead.

Calculate Your Monthly Mortgage Payment

Understanding your monthly mortgage payment involves several factors, including the home's sale price and your down payment. We'll guide you through using California's mortgage calculator to estimate these payments.

1
Home Price

The home price directly influences your monthly mortgage payment in California. A lower home price in Modoc County, at a median of $181,610, means lower monthly payments than in San Mateo County, where the median home price is $1,701,860, according to the National Association of Realtors.

2
Down Payment

The size of your down payment influences your monthly mortgage payment by reducing the loan amount. California's median down payment is $165,000, according to ATTOM.

3
Annual Percentage Rate

Your annual percentage rate (APR) impacts your monthly mortgage payment, with a lower APR resulting in lower payments. The current mortgage rates in California change over time and vary between loan types. For example, the average APR for a 15-year fixed mortgage is 5.4%, and for a 30-year fixed mortgage, it's 6.0%.

4
Loan Terms

Shorter terms, like 15 years, often have higher monthly payments but result in less interest paid over the life of the loan. Conversely, a 30-year term typically has lower monthly payments but accrues more interest over time. Choosing the right term depends on your financial situation and goals.

mglogo icon
SAMPLE MONTHLY PAYMENT CALCULATION IN CALIFORNIA

Using the mortgage calculator in California, you'll find that the monthly payment for a 30-year fixed-rate mortgage after a 20% down payment on a $275,000 house is $1,319. This figure excludes additional costs like HOA fees and property tax.

Choosing a 15-year repayment term for your home loan raises the monthly payment to $1,786, impacting your budget more immediately. In the long run, this option leads to a total interest savings of $153,377 compared to the 30-year term.

Determine Your Mortgage's Affordability

Buying a home is one of the most significant expenses you'll have, and your mortgage payments will take a substantial portion of your monthly income. Understanding your mortgage's affordability is crucial for your finances, and MoneyGeek's mortgage calculator can help you determine this. You can quickly see how much you can afford by inputting your monthly income and other monthly debts, such as car loans and student loans.

The calculator also shows your debt-to-income ratio, a metric that helps you understand how much of your income goes toward debt payments. This is vital when planning to secure a mortgage. According to Experian, the average debt in California is $148,428, which translates to an average monthly debt of $12,369.

See Your Amortization Schedule

Mortgage amortization is the process of paying off a loan over time through regular payments. The key terms are:

  • Principal: The loan amount you borrow. Understanding this helps you see how much you owe.
  • Interest: The cost of borrowing the principal. Knowing this shows the total cost of your loan.

You can use our mortgage calculator to estimate the total interest you'll pay over the life of your loan in California. You can also see when your monthly payments begin to go more toward your principal vs. your interest, which helps you understand your payment allocation over time.

Additional Mortgage Fees in California

Homebuyers in California should consider other mortgage fees that could impact your budget. For example, mortgage insurance and HOA fees can increase your monthly payment. Property taxes and homeowners insurance are also costs to keep in mind.

    homeInsurance icon

    Homeowners Insurance

    Homeowners insurance protects your property and personal belongings from damage or theft. It also provides liability coverage if someone is injured on your property. The average homeowners insurance in California is $1,148 per year.

    discount icon

    Property Tax

    Property tax is a levy on real estate that homeowners must pay to the local government. It funds public services like schools and infrastructure. According to the Tax Foundation, California's effective property tax rate is 0.75%, ranking it 33rd in the nation.

    house2 icon

    HOA Fees

    HOA fees are payments to homeowners associations for property management, maintenance and community amenities. These fees are typically paid monthly or annually.

    insurance2 icon

    Private Mortgage Insurance

    Private mortgage insurance (PMI) protects lenders if a borrower defaults on a loan. It applies to conventional mortgages when the down payment is less than 20%. Borrowers must request cancellation once they reach 20% equity, or it will only be automatically removed at 22%.

How Much Is Private Mortgage Insurance in California?

The average APR for a 30-year fixed loan in California is 6.0%. For a 15-year fixed loan, it's 5.3%. Using MoneyGeek's PMI calculator, you can see that for a $275,000 home with a 10% down payment, borrowers with a credit score between 680 and 719 pay PMI worth $117 per month if they get a 30-year fixed-rate loan. The amount becomes $115 if they opt for a 15-year loan instead.

MoneyGeek's California mortgage calculator allows you to see your amortization schedule and determine when you can stop paying for PMI:

1
Calculate your monthly mortgage payment

Input the necessary information, such as the home's price, down payment and mortgage rate in California. If you already know some fees you need to cover, such as property tax or HOAs, include these. If not, leave them blank, but know you'll still have to pay for these. Run the calculator and get your total monthly payment.

2
Calculate for your target equity

You can request that PMI be canceled when you've accumulated at least 20% equity in your home — this will be your target equity. To calculate your target equity, multiply your home's price by 20%.

3
Determine the remaining equity required

Your down payment already contributes towards the 20% equity you need to request your PMI's cancellation. Deduct your down payment from your target equity to get the remaining amount.

4
Establish a timeline

Go to the Amortization tab of the mortgage calculator. Move the slider until the principal paid exceeds your remaining equity required — that's the year you can stop paying for PMI.

Private Mortgage Insurance Calculator

Calculate your monthly private mortgage insurance (PMI) premium based on your credit score and down payment.

$
$
%
%
years
Your Expenses
Upfront Insurance Costs

-

Mortgage Loan
Monthly Payment

-

Monthly Mortgage
Insurance Cost (PMI)

-

mglogo icon
WHEN CAN YOU CANCEL YOUR PMI?

Let's say you put an 8% down payment on a home in California priced at $350,000. With an average APR of 6.0% for a 30-year fixed-rate loan, your monthly mortgage payment is $1,931. You need 20% equity to cancel PMI, equivalent to $70,000.

Since your down payment was $28,000, you still need to pay $42,000 to accumulate 20% equity. Assuming that your home's value remains the same over the years and that you consistently pay your mortgage, you can request your lender to cancel your PMI before the end of the ninth year.

How to Lower Your Monthly Mortgage Payment in California

Your mortgage is probably the biggest expense you have each month. For a $225,000 loan in California at 6.0% interest, you'll pay $1,319 monthly. However, if you can reduce your APR by 0.25%, your new monthly mortgage payment becomes $1,284. That $35 difference in monthly payment adds up — over a 30-year fixed-rate mortgage, you'll save $12,654 in total interest.

This example highlights the value of finding ways to lower your monthly mortgage payment. Here are some strategies to consider:

    excellentCredit icon

    Improve your credit score

    Your credit score affects your mortgage payment. In California, if you put in a down payment between 5% and 20% of the home's sale price, the average APR for a 30-year fixed-rate mortgage is 6.6% if your credit score is above 740. However, if your credit score is under 680, the average APR becomes 7.4%. This change in APR makes your monthly mortgage payments go from $1,405 to $1,523.

    giveMoney icon

    Save for a bigger down payment

    Putting a bigger down payment may result in lower monthly mortgage payments. For a $225,000 loan in California, putting 8% down makes your APR 6.7%, resulting in a monthly mortgage of $1,633. Increasing your down payment to 25% puts your APR at 6.2% and a monthly mortgage of $1,263.

    calendar icon

    Choose a longer loan term

    A longer loan term affects your monthly mortgage payment. A 15-year fixed-rate mortgage in California has an APR of 5.4%. A 20% down payment makes your monthly mortgage payment $1,786. Compare this to $1,319, which you'll have to pay each month if you change loan terms to 30 years, even if your APR increases to 6.0%.

    housePapers icon

    Explore homeownership assistance programs

    You can find homeowners assistance programs in California that may help with your mortgage costs. Institutions like the California Housing Finance Agency and the Housing Authority of the County of San Bernardino offer various forms of assistance to eligible homeowners.

FAQ: Mortgage Calculations in California

Using a mortgage calculator can raise questions for potential borrowers, especially with California's specific financial landscape. We've addressed commonly asked questions to help you understand your mortgage options.

How much mortgage can I afford in California?
What is the average mortgage debt in California?
How much down payment do I need to purchase a house in California?
Do you really need private mortgage insurance in California?
What's the effective tax rate in California?
What is the median home price in California?

About Zachary Romeo, CBCA

Zachary Romeo, CBCA headshot

Zachary Romeo is a certified Commercial Banking and Credit Analyst (CBCA), and the Head of Loans and Banking at MoneyGeek. Previously, he led production teams for some of the largest online informational resources in higher education, with over 13 years of experience in editorial production.

Romeo has a bachelor's degree in biological engineering from Cornell University. He geeks out on minimizing personal debt and helping others do the same through people-first content.

Read Full Bio »
sources
Insurance
Mortgage
Credit Cards
Loans
About MoneyGeekPressPrivacy PolicySitemap
Copyright © 2024 MoneyGeek.com. All Rights Reserved Terms of Use