Finance a home with as little as 3.5% down and see the full FHA payment — principal, interest, upfront mortgage insurance rolled into the loan, and the ongoing monthly premium — all in one number.

How to Use the FHA Loan Calculator

Home price, down payment percentage, rate, and term work the same as any mortgage calculator. What's different is the annual MIP rate field — FHA's insurance rate depends on your loan amount, term, and loan-to-value tier, so it's left editable rather than hardcoded; the default of 0.55% covers the common case of a 30-year loan above 95% LTV on a standard-size loan.

FHA loans exist to make homeownership reachable with a smaller down payment and more forgiving credit standards than a conventional loan typically allows — as low as 3.5% down. The trade the borrower makes for that access is mortgage insurance, and FHA charges it two different ways at once.

Upfront MIP, Financed Into the Loan

The upfront premium (UFMIP) is 1.75% of the base loan amount, and almost nobody pays it in cash — it gets rolled into the loan balance instead, which is exactly what this calculator does:

Base Loan = Home Price − Down Payment
UFMIP = Base Loan × 1.75%
Total Loan Amount = Base Loan + UFMIP

Financing the UFMIP means paying interest on the insurance premium itself for the life of the loan — a small but permanent markup that a cash-paid premium wouldn't carry.

Annual MIP, Paid Monthly

On top of that, FHA charges an ongoing annual premium, collected as part of the monthly payment:

Monthly MIP = Total Loan Amount × Annual MIP % ÷ 12

Unlike private mortgage insurance on a conventional loan, FHA's annual MIP generally doesn't disappear once you cross a particular equity threshold — on loans with the FHA's standard terms and an initial LTV above 90%, it's scheduled to run for the life of the loan, not just until 20% equity. That's a meaningful long-term cost difference against a conventional mortgage with PMI that eventually drops.

The 1.75% UFMIP rate is fixed by FHA program rules; the annual MIP rate varies by loan amount, LTV, and term tier, and the figure used here reflects a commonly cited base case. Confirm current numbers against the FHA/HUD Mortgagee Letter in effect before treating either as final for your specific loan.