A $300,000 mortgage at 5.5% interest for 30 years has a monthly payment of $1,703 in principal and interest. Over the life of the loan, you will pay $313,212 in total interest, making the total cost $613,212.

Key Numbers

• •Monthly payment (P&I): $1,703
• •Total interest over 30 years: $313,212
• •Total cost of the loan: $613,212
• •A 15-year term at the same rate costs $2,451/month but saves $171,987 in interest
• •With a 20% down payment, the home price would be $375,000