A $600,000 mortgage at 6% interest for 30 years has a monthly payment of $3,597 in principal and interest. Over the life of the loan, you will pay $695,029 in total interest, making the total cost $1,295,029.

Key Numbers

• •Monthly payment (P&I): $3,597
• •Total interest over 30 years: $695,029
• •Total cost of the loan: $1,295,029
• •A 15-year term at the same rate costs $5,063/month but saves $383,664 in interest
• •With a 20% down payment, the home price would be $750,000