How much would I be paying for $500,000 loan (P & I) for 30 years?

[rodimus]

Does anyone know how to calculate how much we will have to be paying to the bank for paying off a $500,000 homeloan in 30 years? Assume 7% interest per year average?

Principal = $500,000
Interest = ?

 

[Peter_Tersteeg]

Repayment Calculator

Monthly payments $3,326.51
total repayments: $1,197,544.49
Total interest payable: $697,544.49

 

[D_One]

Quite easy, you can use excel to calculate it for you. If you don't know the formula, there are heaps of sticky excel spreadsheets on this forum you can download an use.

If you have a smartphone, you can download apps like tapMortgage. You can use that to play with various interest rates. It will also show how much extra repayments based on 1%,2% and so interest rate increases.

 

[Aaron_C]

I second tapmortgage app it is very useful for working out stamp duty as well.

 

[rodimus]

thanks guys!
Very informative
Quite surprised a 500k loan turns out you're forking out over a million $ over 30 years. Well at least the tenant is paying for it right, lol

 

[D.T.]

thanks guys!
Very informative
Quite surprised a 500k loan turns out you're forking out over a million $ over 30 years. Well at least the tenant is paying for it right, lol

Get IO instead!

 

[wategos]

Get IO instead!

Total repayments still over 1 Million, much more interest paid out and you still have the debt at the end.

 

[pieman]

Total repayments still over 1 Million, much more interest paid out and you still have the debt at the end.

Big difference with ip, all interest is a tax deduction

 

[rodimus]

Big difference with ip, all interest is a tax deduction

What if it's your own home. Best to pay it off asap