Our Mission
MortgageCalc was founded on a straightforward premise: the American mortgage industry generates over $2.7 trillion in originations annually, yet the average homebuyer walks into one of the largest financial commitments of their life armed with little more than a lender's estimate and a vague understanding of how interest compounds over 30 years. We set out to change that by building free, transparent, and rigorously accurate calculators that give consumers the same analytical power available to underwriters and portfolio managers at major financial institutions.
Our mission is to democratize mortgage information. We do not sell leads to lenders. We do not accept compensation for steering users toward specific loan products. Every calculator on this site exists for one reason: to help you understand the true cost of borrowing so you can negotiate from a position of knowledge. Whether you are a first-time buyer in Des Moines evaluating a $220,000 starter home or an investor in San Francisco analyzing a $1.4 million property, MortgageCalc delivers the same level of precision and impartiality.
We are committed to financial literacy as a public good. Mortgage debt represents approximately 70% of all household debt in the United States, according to the Federal Reserve Bank of New York. When borrowers misunderstand their obligations, the consequences ripple across families, communities, and the broader economy. By offering institutional-quality tools at no cost, we aim to reduce information asymmetry in the lending process and help every user make decisions grounded in mathematics rather than marketing.
Our Methodology
Every calculator on MortgageCalc is built using standard financial formulas that conform to the Truth in Lending Act (TILA) disclosure requirements established under Regulation Z. Our core monthly payment calculation uses the standard amortization formula:
M = P [ r(1+r)^n ] / [ (1+r)^n - 1 ]
Where M is the monthly payment, P is the principal loan amount, r is the monthly interest rate (annual rate divided by 12), and n is the total number of monthly payments. This is the same formula used by Fannie Mae, Freddie Mac, and every compliant mortgage servicer in the United States. We do not approximate or round intermediate calculations — all operations use full floating-point precision before final display rounding.
Default values displayed on our calculators — including interest rates, property tax rates, and insurance estimates — are sourced from the Federal Reserve Bank of St. Louis (FRED) economic data series. Specifically, we reference the Primary Mortgage Market Survey (PMMS) published weekly by Freddie Mac via FRED Series ID MORTGAGE30US for 30-year fixed rates and MORTGAGE15US for 15-year rates. Property tax defaults are derived from U.S. Census Bureau median estimates by state, and homeowners insurance figures reference National Association of Insurance Commissioners (NAIC) annual reports.
Our amortization schedules compute exact month-by-month principal and interest allocations, ensuring every table on this site matches what your lender's disclosure documents will show. For adjustable-rate mortgage (ARM) calculations, we model rate adjustments using standard 2/2/5 or 5/2/5 cap structures tied to the Secured Overnight Financing Rate (SOFR) index, the industry-standard replacement for LIBOR as mandated by the Alternative Reference Rates Committee (ARRC).
Editorial Guidelines
Every piece of content published on MortgageCalc — whether it is a blog article, a tool description, or a glossary definition — undergoes a rigorous editorial process designed to maximize accuracy and eliminate bias. Our editorial standards are modeled on guidance from the Consumer Financial Protection Bureau (CFPB) regarding clear and conspicuous financial disclosures.
Accuracy First: All calculator logic is reviewed by Elena Rodriguez, our Lead Mortgage Analyst, who spent 12 years as a senior underwriter at a nationally chartered bank. Every formula is cross-validated against manual calculations and compared with outputs from industry-standard mortgage servicing software. If a discrepancy of even one cent exists, the tool is not published until the source of the variance is identified and resolved.
Expert Review: Blog articles and educational content are reviewed by at least one team member with professional experience in mortgage lending, real estate law, or financial planning. We cite primary sources — federal agencies, peer-reviewed research, and official industry publications — rather than relying on secondary reporting. Every factual claim includes a traceable source.
No Lead Selling: Unlike many mortgage comparison sites, MortgageCalc does not collect your personal information for sale to lenders. We do not operate as a lead generator. There is no "Get Your Rate" button that funnels your data to a call center. Our revenue model is transparent: we may display clearly labeled advertisements, but the tools and content themselves are never influenced by advertiser relationships. No lender can pay for preferential placement in our calculators or recommendations.
Correction Policy: If we discover an error in any calculator or article, we correct it immediately and note the correction with a timestamped update at the top of the affected page. We welcome reader corrections — accuracy benefits everyone in the mortgage ecosystem.
Data Sources
Transparency about where our data originates is central to our credibility. MortgageCalc draws from the following authoritative sources:
- Consumer Financial Protection Bureau (CFPB): We reference CFPB educational materials, regulatory guidance, and the Home Mortgage Disclosure Act (HMDA) data for market-level analysis. The CFPB's "Owning a Home" toolkit informs several of our step-by-step guides for first-time buyers.
- U.S. Department of Housing and Urban Development (HUD): FHA loan limits, mortgage insurance premium (MIP) schedules, and government-backed loan program details are sourced directly from HUD's official publications and annual mortgagee letters.
- Freddie Mac Primary Mortgage Market Survey (PMMS): Published weekly, the PMMS is the most widely cited source for average mortgage interest rates in the United States. Our "Current Rates" page and default rate values across all calculators are synchronized with the latest PMMS release via the FRED API.
- Federal Reserve Economic Data (FRED): Beyond mortgage rates, we use FRED for Treasury yield curves, housing price indices (Case-Shiller), consumer price index data, and household debt service ratios — all of which inform our affordability analysis and blog content.
- U.S. Department of Veterans Affairs (VA): VA loan funding fees, eligibility requirements, and entitlement calculations are drawn directly from the VA's lender handbook (VA Pamphlet 26-7) and updated whenever the VA publishes revised fee schedules.
- U.S. Census Bureau: We use Census data for median home values, property tax rates by state and county, and homeownership rate trends that contextualize our affordability calculators.
Our Commitment to Users
Free Forever: MortgageCalc's core calculators — mortgage payment, amortization schedule, refinance analysis, affordability estimator, and all specialty tools — will always be free to use. We will never gate essential functionality behind a paywall or require account creation to access our tools. Financial literacy should not have a price tag.
Unbiased Analysis: Every result our calculators produce is determined solely by the mathematical formula and the inputs you provide. We do not adjust outputs to favor any lender, loan type, or financial product. When you see a monthly payment figure on MortgageCalc, it represents pure mathematics — the same number your lender's compliance software will generate.
Educational Focus: Beyond raw numbers, we are committed to helping users understand what those numbers mean. Our blog publishes in-depth guides on mortgage concepts ranging from the mechanics of amortization to the tax implications of mortgage interest deductions. Our glossary defines every term you will encounter during the lending process in plain, jargon-free language.
Privacy Respect: We collect minimal data. Our calculators run entirely in your browser — your loan amounts, income figures, and financial details are never transmitted to our servers. We use no tracking cookies beyond basic analytics to improve site performance. Your financial information stays on your device.
Accessibility: MortgageCalc is designed to be usable by everyone. Our site follows WCAG 2.1 Level AA accessibility guidelines, with proper semantic HTML, keyboard navigation, screen reader compatibility, and sufficient color contrast ratios. If you encounter any accessibility barriers, please contact us immediately so we can resolve them.