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Viewing 6 posts - 1 through 6 (of 6 total)
  • Profile photo of shellb78shellb78
    Member
    @shellb78
    Join Date: 2009
    Post Count: 5
    March 4, 2009 - 11:50 pm

    Hi,
    We have an investment property which is our PPOR and I am wondering what the balance of the mortgage will be in a couple of years. I have no idea how to work this out.

    Balance owing is $134,000
    30 year loan term commenced Nov 2002
    Fixed Interest rate of 7.19% until 8/9/09
    Assume variable interest rate of 5.19% from September
    Repayments 463.77 fortnight
    And we are currently contributing $90 per week in extra repayments.

    I know at the moment we are reducing the balance of the mortgage by around $5,000 per year and am just wondering what effect the drop in interest rate in September will have on our loan. And how long it will take us to pay off considering our extra repayments.

    I hope someone with some good mathematical skills can help me out here!!

    Thanks heaps
    Michelle

    Profile photo of god_of_moneygod_of_money
    Participant
    @god_of_money
    Join Date: 2008
    Post Count: 970
    March 5, 2009 - 12:01 am

    go to infochoice.com.au
    you can enter you data and it will calculate for you

    cheers

    Profile photo of shellb78shellb78
    Member
    @shellb78
    Join Date: 2009
    Post Count: 5
    March 5, 2009 - 12:14 am
    god_of_money wrote:
    go to infochoice.com.au
    you can enter you data and it will calculate for you

    cheers

    Thank you,

    I will have a look, but I did go to the ING site (who my loan is through) to use their extra repayments calculator but because the loan will go from fixed interest to variable in September it makes it hard to calculate.

    Will see if I can work it out though….

    Profile photo of OrrinOrrin
    Participant
    @orrin
    Join Date: 2004
    Post Count: 8
    March 5, 2009 - 4:56 am

    Hi Michelle,

    Your best bet is to use an Excel Sheet… to do the calc..

    Interest is calc daily and debited monthly…

    so you'll have your interest rate multiply by 100 and divide by 365..

    that rate multipled by the loan balance will give you the interest for that day.

    add the daily balances upto the monthly anniversary of loan and deduct the repayment amounts…

    Then just click and drag the formula until the balance goes to zero…

    Best Of Luck,
    Orrin

    Profile photo of ducksterduckster
    Participant
    @duckster
    Join Date: 2004
    Post Count: 1,674
    March 5, 2009 - 5:44 am

    Or download a template for excel called amortization to get a rough idea.

    Profile photo of lifeXlifeX
    Member
    @lifex
    Join Date: 2004
    Post Count: 651
    March 5, 2009 - 10:19 am

    look up the PMT function in Excell. It will save a lot of effort when setting up a spreadsheet.

Viewing 6 posts - 1 through 6 (of 6 total)

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