Why is my mortgage quote higher than the calculator?

A monthly repayment is not the same as a monthly housing budget. Before deciding that a lender’s quote is wrong, compare what each number includes.

Compare like with like

This calculator estimates principal and interest on a repayment loan. Property taxes, insurance, building charges and maintenance are separate. In the US, some costs may be collected through escrow; other countries use different arrangements. A fixed interest rate does not freeze those other costs.

Rebuild the total

For an illustrative loan of 250,000 at 5% nominal annual interest over 25 years, with monthly payments, principal and interest are about 1,461.48. Add 250 for taxes, 125 for insurance and a 75 maintenance reserve: the planning total becomes 1,911.48. These extra amounts are assumptions, not regional prices.

What to check before accepting an offer

Use the amount actually borrowed, not the property price; do not subtract a deposit twice. Match the term, payment frequency and contractual rate. Keep up-front fees separate, unless financed into the loan. Compare total interest as well as the payment, ask about early-repayment charges, and rerun a higher-rate scenario before a fixed deal ends. A market benchmark is not your personal offer.