Is this all a scam??

I was just having some fun looking at houses for sale, using the mortgage calculator but none of these numbers seem right unless I dont understand math at all. Theyre saying a mortage payment of just the principal and interest(7%) for a $650K home is $4,100. Now im no genius but 7% of. $650k is $45k and even when you combine it for a total of $690K roughly youre looking at $1,900 payment. So does interest compound yearly at 7% or something? Because $4,100 x 12 x 30 is $1,470,000…wtf. Mortgages seem hella predatory who is paying all that?