A $150,000 mortgage at 6% interest for 30 years has a monthly payment of $899 in principal and interest. Over the life of the loan, you will pay $173,757 in total interest, making the total cost $323,757.

Key Numbers

• •Monthly payment (P&I): $899
• •Total interest over 30 years: $173,757
• •Total cost of the loan: $323,757
• •A 15-year term at the same rate costs $1,266/month but saves $95,916 in interest
• •With a 20% down payment, the home price would be $187,500