What does FHA Loan Calculator do?
FHA loan calculator using current HUD rates: 1.75% upfront MIP, annual MIP by LTV, term and loan size, 3.5% minimum down and your full monthly payment.
- Price
- Free
- Account
- Not required
- Processing
- Entirely in your browser; your data and files are not uploaded
- Works on
- Any modern browser on desktop, tablet or phone
- Region
- United States (USD)
- Category
- Financial Calculators
How to use the fha loan calculator
- Enter the purchase price and your down payment in dollars or as a percentage.
- Choose your credit score band. With 580 or higher the minimum down payment is 3.5%; with 500 to 579 it is 10%.
- Enter the rate and term from a lender quote and choose whether to finance the upfront MIP.
- Add your estimates for property tax, homeowners insurance and HOA dues.
- Read the monthly payment, the upfront and annual MIP, how long annual MIP lasts and the year-by-year premium.
Worked example
$350,000 home, 3.5% down, 6.25% for 30 years
The base loan is $337,750 (96.5% LTV). The upfront MIP is 1.75%, or $5,910.63; financed, the mortgage is $343,660 (rounded down to the dollar). Principal and interest are $2,115.97. Because the LTV is above 95% and the base loan is under $726,200, annual MIP is 0.55% for the life of the loan: $153.98 a month in the first year. With $4,200 a year property tax and $1,500 insurance the estimated first-year payment is $2,744.95. Putting 10% down instead drops the annual MIP to 0.50% and it ends after 11 years.
How it works
Base loan = price − down payment, rounded down to the dollar. LTV = base loan ÷ the lower of price and appraised value. Upfront MIP = 1.75% of the base loan; when financed, the mortgage = base loan + upfront MIP, rounded down to the dollar. The annual MIP rate and its duration (11 years or the mortgage term) come from the HUD Handbook 4000.1 Appendix 1.0 chart by term (over 15 years, or 15 years or less), base loan (up to $726,200 or above) and LTV. Following HUD’s published premium calculation, each year’s premium = the average of the 12 scheduled month-start balances × the annual rate, divided by 1.0175 when the upfront MIP is financed, then ÷ 12 and rounded to the cent for the monthly MIP. Principal and interest use M = P × r / (1 − (1 + r)−n).
Assumptions
- MIP rates are from HUD Handbook 4000.1, Appendix 1.0 Mortgage Insurance Premiums (effective for case numbers endorsed on or after 20 March 2023 per Mortgagee Letter 2023-05; handbook revision of 26 November 2025 still shows these rates). Checked on 6 October 2026.
- Upfront MIP 1.75% of the base loan; annual MIP for terms over 15 years: 0.50% (LTV 95% or less) or 0.55% (above 95%) up to a $726,200 base loan, 0.70% or 0.75% above it; for 15 years or less: 0.15% or 0.40% up to $726,200 and 0.15%, 0.40% or 0.65% above it. MIP lasts 11 years in the bands where the chart says so (LTV of 90% or less), otherwise for the mortgage term.
- Minimum down payment: 3.5% of the adjusted value for credit scores of 580 or higher; maximum 90% LTV for scores of 500 to 579 (Handbook 4000.1).
- The monthly MIP follows HUD’s average outstanding balance method; your lender’s figure may differ by a few dollars.
- Property tax, insurance and HOA are your own estimates. FHA county loan limits are not checked.
Frequently asked questions
What is the FHA upfront MIP?
A one-time premium of 1.75% of the base loan amount. It can be paid in cash at closing or added to the loan, but HUD requires it to be either fully financed or fully paid in cash.
How much is FHA annual MIP?
For most 30-year FHA loans with less than 5% down and a base loan up to $726,200, it is 0.55% a year, paid monthly. With 5% or more down it is 0.50%. Larger loans and 15-year terms use different rates; the calculator applies the full HUD chart.
Does FHA mortgage insurance ever go away?
If your LTV at the start is 90% or less (10% or more down), annual MIP ends after 11 years. Above 90% LTV, it lasts for the life of the loan, so many borrowers later refinance into a conventional loan to remove it.
What is the minimum down payment for an FHA loan?
3.5% of the lower of the price and appraised value with a credit score of 580 or higher, and 10% with a score of 500 to 579, per HUD Handbook 4000.1.
Why does my monthly MIP drop each year?
HUD calculates annual MIP on the average scheduled balance for each year, so the premium falls as you pay the loan down.
Limitations
- Estimates only. Your lender’s Loan Estimate is the authoritative figure.
- Does not check FHA county loan limits, streamline refinances, 203(k) loans or other special programs.
- Rates can change by HUD Mortgagee Letter. This version uses rules checked on 6 October 2026.