How does the total amount of interest paid at the end of your loan compare with the amount of the mortgage?

Question

Please give an absolute comparison and a relative comparison.

Answer 1

Example: If you have a $200,000 mortgage at 6% on a 30 year term your payment will be $1199.10. Multiply that by 360 months (30 years) and your total amount paid will be $431,676.38. Over double the amount of the mortgage.

Now thats saying that you pay all payments on time every month and never refinance.

There are bi-weekly payment plans that will shorten the length of the term thus making the interest paid lower. Also sending in extra payments once a year or so will also deduct from the interest paid.

There are new programs out there known as Mortgage Accelerators that drastically reduce the interest paid without having to pay extra payments all the time.

I have a great program that will show you how to pay off your 30 year mortgage (Even an interest only!) in as little as 8-12 years without refinancing, without changing your current budget, and with little or no change to your current lifestyle.

If you'd like to know more drop me a line.

Answer 2

Give an absolute comparison and a relative comparison? Is this homework?

Take the number of payments (360 for a 30 year mortgage) and multiply it by the amount of the payment...360 * $1000. That's the total you pay in principal and interest on a mortgage. Look at that figure in relationship to the purchase price of the home, or the amount you refinanced. That would be an absolute comparison.

I don't know quite what you mean by a relative comparison.

Answer 3

they do pastime in basic terms loans it somewhat is a greater low value fee yet beneficial properties no fairness interior the abode. In worse case state of affairs you pay 30 years and nonetheless owe the full volume of the mortgage. in case you're fortunate appreciation will conceal the version once you sell it

Answer 4

normally ranges around 2.5 times the principal amount

if the loan borrowed was 150k....you will end up paying 375k in payments

Answer 5

Here is a link to an amortization table on my website.

http://www.rubyslipperseattle.com/ToolsSub/Handouts.aspx

Scroll down to Financial, and then click the link that says amortization table. It is in Microsoft Excel.