Financial Disclaimer: This calculator uses median state property tax rates for estimation only. Actual taxes, insurance, and payments vary by county and lender. Consult a licensed mortgage professional for official quotes.
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Below 20% adds PMI
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How to Calculate Mortgage Payment with Taxes and Insurance
A full PITI mortgage payment combines the amortization formula for principal and interest with state-specific property taxes and insurance. For commercial property financing, the Commercial Mortgage Calculator uses the same amortization formula but with commercial loan structures.
Loan Amount = Home Price x (1 - Down Payment / 100) Monthly Rate (r) = Annual Rate / 100 / 12 Payments (n) = Loan Term Years x 12 P&I = Loan x r(1+r)^n / ((1+r)^n - 1) Property Tax = Home Price x State Rate / 100 / 12 PITI = P&I + Property Tax + Insurance / 12 + PMI PMI = Loan x 0.007 / 12 (only when LTV > 80%)
The property tax component alone can range from $93/month (Hawaii, 0.28%) to $830/month (New Jersey, 2.49%) on a $400,000 home. A P&I-only calculator misses that entire range.
Mortgage Calculator: Georgia, Arizona, and Colorado
Georgia (0.92%), Arizona (0.62%), and Colorado (0.51%) are among the lower property tax states, which significantly reduces the PITI payment on the same loan. The table below shows full PITI on a $400,000 home with 20 percent down, 7.0 percent 30-year rate, and $1,200/year insurance. Buyers considering manufactured housing in these states can compare financing options with the Mobile Home Loan Calculator.
Mortgage Calculator Texas, Illinois, and New Jersey: High Property Tax Impact
Texas (1.80%), Illinois (2.23%), and New Jersey (2.49%) carry some of the highest property tax rates in the country. On the same $400,000 home, moving from New Jersey to Florida cuts the monthly PITI by $533 with no change to the loan terms. The table shows the full payment breakdown across five high-volume states.
State
Tax Rate
Annual Tax
Monthly Tax
Full PITI
New Jersey
2.49%
$9,960
$830
$3,059
Illinois
2.23%
$8,920
$743
$2,972
Texas
1.80%
$7,200
$600
$2,829
New York
1.40%
$5,600
$467
$2,696
Florida
0.89%
$3,560
$297
$2,526
Same assumptions: $400,000 home, 20% down, 7.0% 30-year rate, $1,200/yr insurance. The spread from Florida to New Jersey is $533/month on identical loan terms.
Example Calculation
Lisa is buying a $450,000 home in Texas with a 20% down payment, a 7.0% rate on a 30-year loan, and $1,400/year in home insurance. Investors running the same numbers on a Texas rental property can verify the PITI against rental income using the DSCR Loan Calculator.
Loan amount ($450,000 x 80%)$360,000
P&I (7%, 30yr)$2,395/mo
Property tax (TX 1.80%)$675/mo
Home insurance ($1,400/yr)$117/mo
Total PITI payment$3,187/mo
Texas has one of the highest property tax rates in the country. The tax component alone adds $675/month, which is 21% of the total payment and entirely absent from a P&I-only calculator.
Common Mistakes to Avoid
Only looking at the P&I payment
Many online mortgage calculators show only principal and interest. Adding taxes and insurance can increase your monthly payment by 20-40% depending on the state and coverage level.
Using statewide rates for county-specific properties
Statewide medians can be misleading. A home in New York City pays much higher property taxes than a home in rural upstate New York. Always get a county-level tax estimate for the specific property.
Forgetting PMI until LTV reaches 80%
If your down payment is less than 20%, PMI adds to your payment for years. On a $400,000 loan with 10% down, PMI at 0.7% costs about $233/month until you reach 80% LTV.
Underestimating insurance in disaster-prone areas
States like Florida, Louisiana, and California have significantly higher insurance costs due to hurricane, flood, and wildfire risk. The $1,200/yr default may be far too low in these markets.
Not accounting for HOA fees in total housing cost
Condos and many planned communities charge HOA fees that lenders include in your debt-to-income ratio. Add them separately to get your real all-in monthly housing cost.
Frequently Asked Questions
A mortgage calculator with taxes and insurance calculates the full PITI payment: Principal and Interest from the amortization formula, plus monthly property taxes from the state rate applied to the home price, plus homeowner's insurance, and PMI if the down payment is below 20 percent. On a $400,000 home in Texas with 20 percent down, 7 percent rate, and 30-year term, the P&I is $2,129/month. Adding Texas property taxes (1.80% = $600/month) and insurance ($100/month) brings the full PITI to $2,829/month.
Statewide median effective property tax rates used in this calculator, reflecting taxes paid as a percentage of home value based on Census Bureau and state revenue data.
PMI guidelines, PITI explanation, and debt-to-income ratio standards referenced in the calculator methodology and FAQ answers.
HR
Hassaan Rasheed
Developer and Researcher, CalculatorFlux
Researches and verifies the formulas, methodology, and source data behind each calculator on CalculatorFlux. All tools are built and checked against the cited references before publication.
Last updated: May 2026
Highest & Lowest Tax States
Highest property tax rates:
New Jersey
2.49%
Wisconsin
1.85%
Illinois
2.23%
Texas
1.80%
Connecticut
1.79%
Lowest property tax rates:
Hawaii
0.28%
Alabama
0.42%
Colorado
0.51%
South Carolina
0.57%
Delaware
0.57%
Pro Tip
Moving from New Jersey (2.49%) to Florida (0.89%) on a $500,000 home saves about $8,000 per year in property taxes, nearly $667 off your monthly PITI with no change to the loan itself.