Q:
# What Is the Mortgage Payment Formula?

The mortgage payment formula to calculate a fixed monthly payment is P = L[c(1 + c)^n]/[(1 + c)n - 1]. In this formula, P stands for monthly payment, L is loan, c is the monthly rate and n refers to the month in which the balance is paid in full.

Continue ReadingTo calculate a balance when months are remaining on a loan, the equation B = L[(1 + c)n - (1 + c)p]/[(1 + c)n - 1] is used. In this equation, B is the balance, and p refers to the number of months left. To calculate annual percentage rate, the formula L - F = P1/(1 + i) + P2/(1 + i)2 +… (Pn + Bn)/(1 + i)n is used. In this instance, the variable i is internal rate of return, F refers to points and lender fees, and Bn refers to the balance in month n.

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Q:
## How Can You Calculate Amortized Loan Payments With a Formula?

A: The formula for calculating amortized loan payments is A=P(r(1+r)^n)/((1+r)^n-1), states Vertex42. "A" is the payment amount per period, "P" is the beginni... Full Answer >Filed Under: -
Q:
## How Do You Pay Off Your Mortgage Early?

A: Strategies to pay off a mortgage faster include paying more each month, refinancing, making occasional extra payments and switching to a biweekly payment p... Full Answer >Filed Under: -
Q:
## Is There a Formula You Can Use to Figure Your Mortgage Rate?

A: The formula used to calculate annual percentage rates on mortgage loans is L - F = P1/(1 + i) + P2/(1 + i)2 +… (Pn + Bn)/(1 + i)n, cites the Mortgage Profe... Full Answer >Filed Under: -
Q:
## How Are Mortgage Payments Calculated?

A: The exact formula for calculating mortgage payments depends on the type of loan. For a common fixed-interest mortgage, the standard formula is P = LoanAmt ... Full Answer >Filed Under: