Fixed vs Adjustable Mortgage Calculator

Compares a fixed rate with an adjustable one at a reset rate you assume.

Result

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Share sends a link that reopens these numbers. Copy details pastes the full breakdown as a list.

Fixed payment —

Adjustable payment, intro —

Adjustable payment, after reset —

Fixed total paid —

Adjustable total paid —

The formula

reset payment = pmt(balance after intro, reset rate, months left)

After the intro period, the remaining balance is re-amortised at the new rate over the remaining term. One reset rate is a simplification.

The result depends on a future rate nobody knows. Test a pessimistic one and check you could afford that payment.

Is an adjustable-rate mortgage cheaper?

It is cheaper at first. Overall it depends on rates after the reset and how long you keep the loan.