Mathematic, accounting and other subject related with number and calculation was not really my favorite one. I was lucky if I could just get C for those subjects when I was still in school. Unfortunately after I have grown, I still can not avoid those numbers thing from daily life, starting from I wake up in the morning, I already have to start to calculate my expenses today. When first time I got a job and first time I receive my salary, that number was following me from day to day. Even though I am working as secretary and not necessarily related with accounting but still, I need to Calculate my boss’ expenses, calculate my boss exchange rate, calculating my daily expenses, my monthly need, my family needs, my saving, my installment, my debt and now.. my mortgage loans! Oh my God, I feel like to give up with these annoying numbers.
Some people may use calculator or Excel or special formula to work with this repayment.. Comparing the costs from some mortgages and to re-consider my affordability is the one that needs to do for calculating this mortgage loans. This calculation is also useful for calculating the personal loans, second mortgages, re-mortgages, and commercial mortgages.
So if you do not want to have difficulties to calculate this number, you can use Excel to make it easier for you since excel has special function to calculate the capital as well as the interest of repayments. However there is slightly different between calculating the interest of repayment and calculating the interest only repayment. The interest of repayments which called “PMT” (capital plus interest) and the interest only repayment called “ISPMT” (interest only repayment). The same thing with calculating the mortgage repayments, that can also be used to find the total amount paid on the mortgage. if the interest rates are known It would be easier for you to calculate monthly repayments and calculate the interest payments separately. However I suggest you to have advice from professional mortgage advisor before you decide to get mortgage quotations from a website.
Tags: Loans, mortgage, Mortgage Loans