Mortgage Loan Amortization

How Do I Prepare Amortization Table For A 30 Year Mortgage Loan Using Microsoft Excel?

Mar 15, 2006 by simplisticyuma | Posted in Renting & Real Estate

download it from the situation below its free and all formulas are there for you so you can see how they did it.

A Math Question About Mortgage, Amortization Period, And Nominal Interest.?

Dec 01, 2007 by hlnov13 | Posted in Mathematics

A household has a mortgage on their house with 25yr amortization period. The nominal interest rate is i-5.95%; interest is compounded semiannually. Their monthly payment is p-$3107.77, and their reported balance is $237,562.52. Answer the following questions assuming that the interest rate stays the same over the duration of the mortgage.

a)How many more months will it take until the mortgage is paid off?
b)What was the authentic amount of the mortgage loan?

Assuming that the interest be entitled to stays constant over the duration of the mortgage:

a) The mortgage will be paid off in exactly eight years; and,
b) The original amount of the mortgage loan was $488,000.

Authentication:

Let "P" be the principal owing on a loan.
Let "M" be the monthly mortgage payment.
Let "T" be the leftover number of months.
Let "R" be the interest rate expressed on a MONTHLY compounded underpinning.
Let "S" be the interest rate expressed on a SEMIANNUAL compounded basis

The relationship between "P", "M", and "R" can be expressed as follows:

Method 1: P/M = [(1 + R/12)^T - 1] / [R/12 (1 + R/12)^T]

The relationship between "R" and "S" can be expressed as follows:

Procedure 2: R/12 = [(1 + S/2)^(1/6)-1]

Substituting the above into my Formula 1, the result becomes:

Formula 3: P/M = [(1 + S/2)^(T/6) - 1] / [((1 + S/2)^(1/6) - 1) x (1 + S/2)^(T/6)]

SOLVING FOR "PART A"

Rewriting my "Technique 3" in natural logarithmic form, the value of "T" can be expressed as follows:

T = 6 x [ln(1 / (1 + S/2)^(1/6) - 1) - ln((1 / (1 + S/2)^(1/6) - 1) - P/M)] / ln (1 + S/2)

Inserting your known values for "M" ($3,107.77), "S" (5.95%), and "P" ($237,562.52), the value of "T" is found to be 96.0 months, or literally eight years.

SOLVING FOR "PART B"

"Part B" of the question can be answered by rewriting my "Procedure 3" as follows:

P = M x [(1 + S/2)^(T/6) - 1] / [((1 + S/2)^(1/6) - 1) x (1 + S/2)^(T/6)]

Substituting your known values for "M" ($3,107.77), "S" (5.95%), and "T" (300 months), the value of P is found to be $488,000.

What Is Negative Amorttization Or Accelerated Amortization When Talking About Mortgage Loans?

May 24, 2006 by mitchro2002 | Posted in Renting & Real Estate

Uninterested amoritization loans are easier to qualify for if you are not quite meeting income ratios. However, they are unquestionably bad loans to take because the "negative" means that your monthly payment made toward mortgage isn't even paying the full interest amount due on that loan payment. The part you didn't pay is the "disputatious" and it gets added to the principal balance of the loan. You loan amounts gets bigger each month, not smaller. It's basic for the bank because you'll never pay it off and your debt just keeps getting bigger.

Negative amortization loans are considered plundering loans a lot of the time, but some people do use them in short term deals for business or residential and as great as they know what they are getting, it's a way to qualify for a bigger loan because the monthly payment is artificially low because you aren't making a full payment. This category of loan might be the only loan some people qualify for but those people need to be very wary and refinance as soon as realizable. Some sleazy banks and mortgage brokers will stick unsusspecting borrowers with this kind of loan, with a disclosure expression that an unsophophisticated person probably wouldn't understand. They'll never tell those borrowers "hey, this is a sucky loan, do you requirement it?"

Manage Loans with an Amortization Table in Excel - Part 1

Produce a mortgage (loan) payment calculator with an amortization table (payment schedule) for detailed payment knowledge.

Latest mortgage loan amortization news – Opting for mortgage ...

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mortgage loans Directory

Amortization Schedule Calculator -- Bankrate.com
This mortgage adding machine figures monthly mortgage payments, and shows impacts of extra mortgage payments on an amortization provisions schedule.

Amortization Calculator & Amortization Schedule - Yahoo! Real ...
Encyclopaedic Mortgage Calculator. This loan amortization calculator shows you the breakdown between principal and interest in your mortgage payments. ...

HSH Mortgage Payment Calculator
Generates an amortization outline as well the monthly payment for a mortgage paid either monthly or bi-weekly.