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i'm curious about that specific month when the principal reduction overtakes the interest portion
It doesn't matter, you won't be living in that house in 2028....
based on statistics, you would be correct
Well if there is no name, I think we should try to come up with one.
Tried uploading chart based on the example in your OP - but couldn't seem to do it.
The "breakeven" point (for lack of a better term) occurs at month 182 (out of 300)
Tried uploading chart based on the example in your OP - but couldn't seem to do it.
The "breakeven" point (for lack of a better term) occurs at month 182 (out of 300)
yea, $706.07 interest portion, $707.48 principal reduction portion, and a mortgage balance of $120,333.77
is there a name for the month when the mortgage payment goes from more interest than principal reduction to more principal reduction than interest (i'm thinking "breakeven month" but that doesnt sound right for the scenario).
for example
i = 7%
n = 25 years
principal = 200k
http://www.amortization-calc.com/#loan-200000-25-7-1-2013-2
according to this amort table in the link above, on 2/2028, the mortgage payment becomes more principal reduction than interest payment.
#housing