Mortgage Payment at 5% Interest

Quick Answer

$1,610/mo

Principal & Interest

Loan Amount
$300,000
Interest Rate
5.0% Fixed
Loan Term
30 Years
Total Interest
$279,767

A $300,000 mortgage at 5% interest costs approximately $1,610 per month in principal and interest over 30 years. That's based on a fixed rate with no down payment adjustment — if your scenario involves a different home price and down payment, the loan amount will shift the figure proportionally.

Add in property taxes and homeowner's insurance ($300–$600/month depending on location), and total housing costs typically land between $1,910 and $2,210/month.

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The number above assumes exactly $300,000 borrowed at 5% over 30 years. Use the Mortgage Calculator to enter your actual home price, down payment, and rate — and see how those changes affect your monthly payment.

Payment Breakdown

Monthly P&I
$1,610
Total Paid (30yr)
$579,767
Total Interest
$279,767
Interest-to-Loan
93.3%

At 5%, you end up paying roughly $1.93 for every $1 borrowed. About 48% of your total payments go toward interest — noticeably more than at 3–4%, but still significantly less than rates above 6.5%.

How the Payment Changes Across Rates

Rates that feel close together on paper create real differences in monthly cost. Here's the full picture on a $300,000 loan:

Interest Rate Monthly P&I Total Interest (30yr) vs. 5%
3.0% $1,265 $155,332 −$345/mo
4.0% $1,432 $215,609 −$178/mo
5.0% $1,610 $279,767
6.0% $1,799 $347,515 +$189/mo
7.0% $1,996 $418,527 +$386/mo

The gap between 5% and 7% is $386/month — and over the full loan term, that rate difference translates to nearly $139,000 more in total interest.

Why Rate Has Such a Large Long-Term Impact

  • Interest compounds every month — early payments are heavily weighted toward interest, not principal. At 5%, about 52% of your first payment is interest; at 7%, it's 65%.
  • Each 1% rate difference costs ~$64,000–$71,000 over 30 years on a $300K loan.
  • A lower rate builds equity faster — more of each payment chips away at the principal balance, increasing your ownership stake sooner.

Want to see how a 15-year term compares? At 5%, a 15-year mortgage on $300K costs about $2,372/month but saves roughly $122,000 in interest. See the full 15-year vs. 30-year comparison.

Explore Mortgage Payments by Home Price

Each page below breaks down monthly payments at your specific home price — with rate tables, down payment scenarios, and a 15yr vs. 30yr comparison.

Browse all 37 price points on the Mortgage & Real Estate hub.

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Frequently Asked Questions

What is the monthly payment on a $300,000 mortgage at 5%?

At 5% interest over a 30-year term, a $300,000 mortgage costs approximately $1,610/month in principal and interest. Add property taxes and homeowner's insurance and expect total monthly housing costs of roughly $1,910–$2,210.

How much total interest is paid at 5% on $300K?

Total interest over 30 years at 5% is approximately $279,767, bringing total repayment to $579,767. That's roughly 93% of the original loan added in interest — significantly more than at 3–4%, but well below what you'd pay at 7–8%.

How much more does a 6% rate cost compared to 5%?

On a $300K loan, a 6% rate adds $189/month compared to 5% ($1,799 vs. $1,610). Over 30 years, that 1% difference costs an additional $67,748 in total interest ($347,515 vs. $279,767).

Last updated: March 2026. Calculations use standard mortgage amortization formulas for a 30-year fixed-rate loan. Actual payments vary by lender, credit profile, taxes, and insurance. This page is for educational purposes — not financial advice.