# 30 vs 40-year Mortgage Calculator

Please enter valid values for loan amount and interest rate.

'; return; } const monthlyInterestRate = (interestRate / 100) / 12; const numberOfPayments30 = 30 * 12; const numberOfPayments40 = 40 * 12; const monthlyPayment30 = (loanAmount * monthlyInterestRate) / (1 - Math.pow(1 + monthlyInterestRate, -numberOfPayments30)); const monthlyPayment40 = (loanAmount * monthlyInterestRate) / (1 - Math.pow(1 + monthlyInterestRate, -numberOfPayments40)); resultDiv.innerHTML = `30-Year Mortgage Monthly Payment: $${monthlyPayment30.toFixed(2)}

40-Year Mortgage Monthly Payment: $${monthlyPayment40.toFixed(2)}

`; }Sure, I can create a table comparing 30-year and 40-year mortgage options based on certain estimations. Let’s use some standard assumptions for our calculations:

**Loan Amount**: $300,000**Interest Rate for 30-year Mortgage**: 3.5%**Interest Rate for 40-year Mortgage**: 4.0%

We’ll calculate:

- Monthly payment
- Total payment over the life of the loan
- Total interest paid over the life of the loan

First, we can use the formula for calculating monthly mortgage payments:

M=P⋅r⋅(1+r)n(1+r)n−1M = \frac{P \cdot r \cdot (1 + r)^n}{(1 + r)^n – 1}M=(1+r)n−1P⋅r⋅(1+r)n

where:

- MMM is the monthly payment
- PPP is the loan amount (principal)
- rrr is the monthly interest rate (annual rate divided by 12)
- nnn is the number of payments (loan term in years multiplied by 12)

Let’s calculate the values.

### 30-Year Mortgage

- Loan Amount: $300,000
- Interest Rate: 3.5%
- Monthly Interest Rate: 0.035 / 12
- Number of Payments: 30 * 12

### 40-Year Mortgage

- Loan Amount: $300,000
- Interest Rate: 4.0%
- Monthly Interest Rate: 0.04 / 12
- Number of Payments: 40 * 12

We’ll compute these values and present them in a table.

Here is a comparison table for a 30-year versus a 40-year mortgage based on the given assumptions:

30-Year Mortgage | 40-Year Mortgage | |
---|---|---|

Monthly Payment ($) | 1347.13 | 1253.82 |

Total Payment ($) | 484968.26 | 601831.40 |

Total Interest Paid ($) | 184968.26 | 301831.40 |

### Summary

**Monthly Payment**: The 40-year mortgage has a lower monthly payment ($1253.82) compared to the 30-year mortgage ($1347.13).**Total Payment**: Over the life of the loan, the total amount paid for the 40-year mortgage is higher ($601,831.40) than the 30-year mortgage ($484,968.26).**Total Interest Paid**: The 40-year mortgage incurs significantly more interest ($301,831.40) compared to the 30-year mortgage ($184,968.26).

The choice between a 30-year and a 40-year mortgage involves a trade-off between lower monthly payments and higher total cost over the life of the loan.