A $300,000 mortgage at 6% interest for 30 years has a monthly payment of $1,799 in principal and interest. Over the life of the loan, you will pay $347,515 in total interest, making the total cost $647,515.

Key Numbers

• •Monthly payment (P&I): $1,799
• •Total interest over 30 years: $347,515
• •Total cost of the loan: $647,515
• •A 15-year term at the same rate costs $2,532/month but saves $191,832 in interest
• •With a 20% down payment, the home price would be $375,000