A $350,000 mortgage at 6.5% interest for 30 years has a monthly payment of $2,212 in principal and interest. Over the life of the loan, you will pay $446,406 in total interest, making the total cost $796,406.

Key Numbers

• •Monthly payment (P&I): $2,212
• •Total interest over 30 years: $446,406
• •Total cost of the loan: $796,406
• •A 15-year term at the same rate costs $3,049/month but saves $247,608 in interest
• •With a 20% down payment, the home price would be $437,500