Margill - The Interest calculation software

The dollar ($) has been used in these examples, but any other currency (€, £, F, ¥, R, DA, Rs... etc.) may be used.

Most of the calculations below may use Fixed (unique interest rates) or Variable rates.

Irregular mortgage with lump sum payments

The data entry screen is as shown above. The changes are made in the Results screen (payment schedule), which can be totally customized. See below.

Mortgage using variable interest rates

Margill includes many variable interest rate tables. You can also create your own in a snap.

You can also specify that x% is to be added (or subtracted) from the published rates.

Adjustable rate mortgage (ARM) with payments adjusted according to the interest rates in force

A future (predicted) variable interest rate table is created.

This table is then used for the calculation. In this example the applicable rates are the rates above plus 0.75%.

The payments are then automatically adjusted according to the rates. The payments will vary to first cover (refund) interest and the balance of the payment to refund the principal.

See the "Payment" column below from the Results screen.

Reverse mortgage

Reverse mortgages have a different purpose than normal forward mortgages do. With a reverse mortgage, you are taking the equity out in cash. So with a reverse mortgage your debt increases and your home equity decreases.

Let's do an example:

The Jones' home equity is about $350,000 and now being at retirement age, they wish to "live a little" without selling their home. They wish to receive $75 000 up front and then $2500 in regular payments for 60 months. The interest rate for the loan is 9.5% annually.

In "Fixed Rate Calculations" use "Recurring Payments (Amortization)". The initial principal is $75,000 since this is the upfront amount that was loaned to the Jones and the payment is minus $2500 since the Jones are not reimbursing their loan but receiving $2500 per month for 60 months.

After 60 months, the Jones would owe $310,485.

You can then save the schedule and include any irregular incident : larger monthly cash loan (- amount), reimbursement (+ amount) at any time, etc.

Total flexibility