Comments on: How do you calculate what your mortgage payment will be without using a mortgage calculator?

By: Tony Q

Tony Q — Wed, 24 Jan 2007 23:46:13 +0000

monthly payment = interest portion + principal portion
m1=12 in us the interest is compounded monthly
(in canada m1=2, interest is compounded semi-annual)
m2=12 payment every month
YR=25
%int=6 percent annual interest
n= m2 * YR = 12 * 25 = 300
int=%int / 100 / m1 = 6 / 100 / 12 = 0.005
INT = (1 + int) ^ (m1 / m2) -1
INT = (1 +0.005) ^ (12 /12) -1 = 0.005
PV = loan = 200,000
F1 = interest portion of mortg
F1 = PV * INT = 200,000 * 0.005 = 1000
F2 = equal monthly payment factor
F2 = 1 – [1 + INT] ^ [ - n ]
F2 = 1 – [1 + 0.005] ^ [ - 300 ]
F2 = 0.77603432
PMT = monthly payment = F1 / F2 = 1000 / 0.77603432
PMT = 1288.60

By: NevadaHomes

NevadaHomes — Tue, 23 Jan 2007 11:33:22 +0000

Hi NeedInfo06,

Microsoft Excel has an amortization table template that you can use. If you do not have in your computer, go to Microsoft’s website. Type amortization table in the search bar. Download it from there.

By: wifey

wifey — Sun, 21 Jan 2007 06:18:58 +0000

Easiest way to do that is to take the purchase price of the house and divide it by 100. The figure will be very close to your mortgage amount including property tax and insurance if you were paying roughly 9% interest. It’s good to figure it this way too, because then you’ve estimated on the high end, so you know it will be less than that. If you’re getting a 5% interest, than divide your figure by 50.

By: shell

shell — Sat, 20 Jan 2007 23:28:17 +0000

1288.60 but that doesn’t include taxes or insurance. This is just P&I. Also take in account if you have HOA dues.

By: xavier p

xavier p — Sat, 20 Jan 2007 20:29:22 +0000

With mortgages, we want to find the monthly payment required to totally pay down a borrowed principal over the course a number of payments.The standard mortgage formula is:
M = P [ i(1 + i)n ] / [ (1 + i)n - 1]

Where M is the monthly payment. i = r/12. The same formula can be expressed many different way, but this one avoids using negative exponentials which confuse some calculators.

By: tikki

tikki — Sat, 20 Jan 2007 02:33:00 +0000

I’m not exactly sure off the top of my head without using a mortgage calculator but, someone has told me to just say 1% will be your mortgage payment. So with $200,000 mortgage i would estimate your payment to be 2000/mth.