# FHA Loan Calculator

> Estimate an FHA mortgage payment including the 1.75% upfront and the annual mortgage insurance premium from HUD’s current MIP table, plus tax and insurance.

Category: Finance · Applies to: United States · Last updated: 2026-10-29
Interactive calculator: https://calculators.geekmidst.com/calculators/fha-loan-calculator

FHA loans are insured by the US Federal Housing Administration, so borrowers pay mortgage insurance twice: an upfront premium usually added to the loan, and an annual premium paid monthly. This calculator applies HUD’s current premium table to your loan.

Also called: FHA mortgage calculator.

## Inputs
- Home price (default 300000)
- Down payment (unit %; default 3.5)
- Interest rate (per year) (unit %; default 6.5)
- Loan term (options: 10 years, 15 years, 20 years, 25 years, 30 years; default 30)
- Upfront MIP (options: Add to loan, Pay in cash; default yes)
- Property tax (per year) (default 3000; optional)
- Homeowners insurance (per year) (default 1200; optional)
- HOA dues (per month) (default 0; optional)
- Annual MIP rate (optional) (unit %; default ; optional)
- Currency

## Results
- Total monthly payment
- Principal and interest
- Monthly MIP (first-year estimate)
- Upfront MIP (1.75%)
- Total loan amount
- Loan-to-value (base loan)
- Annual MIP rate
- Annual MIP is paid for
- Total interest over the term

## Formula

```
Base loan B = Price × (1 − Down%);  UFMIP = 1.75% × B;  Loan L = B + UFMIP (if financed);  P&I = PMT(L, rate ÷ 12, n);  Monthly MIP ≈ B × annual MIP rate ÷ 12
```

Where:
- B: base loan amount before the upfront premium
- annual MIP rate: from HUD’s table by term (over 15 years or not), base loan amount (above or below $726,200) and loan-to-value
- n: term in months

## Worked example
1. Base loan = 300,000 × 96.5% = $289,500 (LTV 96.5%); upfront MIP = 1.75% × 289,500 = $5,066.25, added to give a $294,566.25 loan.
2. P&I on $294,566.25 at 6.5% over 360 months = $1,861.86.
3. A 30-year loan at 96.5% LTV under $726,200 pays 0.55% a year: 289,500 × 0.55% ÷ 12 = $132.69 a month, for the life of the loan.
4. Tax and insurance = (3,000 + 1,200) ÷ 12 = $350, so the total is $2,344.55.

**Result:** With 3.5% down on a $300,000 home, the FHA payment is about $2,345 a month, of which $132.69 is mortgage insurance.

## What the result means

With less than 10% down, the annual MIP stays for the whole loan; the usual way to remove it is to refinance into a conventional loan once you have enough equity. Compare the total monthly payment with a conventional quote that includes private mortgage insurance.

## Assumptions and limits
- MIP rates are HUD’s schedule in Mortgagee Letter 2023-05 for forward mortgages endorsed on or after 20 March 2023 (standard purchase loans; streamline refinances and Hawaiian Home Lands loans differ).
- Monthly MIP is estimated on the base loan amount; lenders recalculate it each year on the average outstanding balance, so it falls slowly over time.
- Fixed-rate loan with level monthly payments.
- FHA loan limits, credit-score rules for the minimum down payment, and lender overlays are not checked.
- Closing costs and HOA special assessments are not included.

## Rules used
- Jurisdiction: United States
- Effective from: 2023-03-20
- Authority: US Department of Housing and Urban Development (FHA)
- Last checked: 2026-10-29

## Questions

### How long do I pay FHA mortgage insurance?

Under HUD’s current table, 11 years if your loan-to-value at the start is 90% or less, and for the life of the loan if it is above 90%.

### Can I pay the upfront MIP in cash?

Yes. Paying it at closing keeps the loan amount lower; most borrowers add it to the loan instead. Switch the option to compare.

## Sources
- [HUD Mortgagee Letter 2023-05: Reduction of FHA annual MIP](https://archives.hud.gov/news/2024/2023-05hsgml.pdf)
- [US Department of Housing and Urban Development](https://www.hud.gov/)

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_This calculator gives estimates for planning. It is not financial advice, and lenders’ actual terms, fees and rounding may differ._

Source: GM¹X CalcVerse — https://calculators.geekmidst.com/calculators/fha-loan-calculator