How much of my payment actually goes to the loan?
Early on, most of it goes to interest. On a 30-year loan at around 6.5%, roughly three quarters of your first payment is interest and only a quarter reduces the balance. That flips gradually — the amortization table on this page shows the exact crossover for your numbers.
Why is my Texas payment higher than the mortgage calculators I used elsewhere?
Property tax. Texas has no state income tax and funds services through property tax instead, so Austin-area effective rates commonly run 1.8% to 2.4% of value per year. On a $450,000 home that is roughly $675 to $900 a month on top of principal and interest. National calculators frequently default to about 1.1% and understate a Texas payment badly.
Do I have to put 20% down?
No. Conventional loans start at 3% to 5% down, FHA at 3.5%, and VA and USDA offer 100% financing to eligible borrowers. Below 20% you pay mortgage insurance, but on a conventional loan that cancels once you reach roughly 80% loan-to-value — it is not permanent.
What does one extra payment a month actually save?
More than most people expect, because every extra dollar goes straight to principal and stops accruing interest for the rest of the term. Put a figure in the extra principal box and the calculator shows the interest saved and how many years it removes.
Is this a rate quote?
No. It is an estimate to help you plan. Your actual rate depends on credit, loan type, property, occupancy and the day you lock. Send us the numbers and a licensed Austin loan officer will confirm what you genuinely qualify for at no cost.