Mortgage APR Calculator
Enter your loan amount, interest rate, term, and upfront fees to estimate the effective APR of your mortgage — a more accurate way to compare lenders than the nominal rate alone.
About this calculator
Calculate the true annual percentage rate (APR) of a mortgage including points and closing fees, so you can compare loan offers accurately.
Frequently Asked Questions
How is APR different from interest rate?
The interest rate only reflects the cost of borrowing the principal, while APR also factors in points, origination fees, and other closing costs, giving a fuller picture of the loan's true annual cost.
Why does APR matter when comparing loans?
Two loans with the same interest rate can have very different APRs if their fees differ, so APR helps you compare offers on an apples-to-apples basis.
Is a lower APR always better?
Generally yes, but if you plan to sell or refinance quickly, a loan with lower upfront fees and a slightly higher rate might cost less overall than one with a lower APR but high fees.