Mortgages

These are usually quite straightforward. Create a new Record with "File" and "New Record". See also Creating the first Record and Data entry screen Basics.

Data window

In the example below, 25-year the mortgage starts on October 1 and the first payment is a month later. Compounding is monthly, Payment method, normal. The 225,000 mortgage has a five year term.

In this example the term is included but the entire schedule (25 years) is produced by checking "Create complete Results Table". This allows to compute the Annual Percentage Rate (APR) (if need be) since APR can only be computed if the balance = 0.00 (otherwise not all finance fees are accounted for).

Annual Percentage Rate (APR) window

Compulsory fees should be included in the APR window. These may be stated as an amount or as points (percentage of the loan amount).

Advanced window

The various Advanced features (day count, short periods) will depend on the jurisdiction. Method should usually be Normal - Actuarial Equal Periods (compound interest).

Results table

MLM automatically calculates the payment and produces the payment schedule.

Had a 5 year schedule been created, the table would have stopped at the line highlighted in blue (line 60). The balance can be seen on the Balance column. Total payments, interest and principal refunded can be seen at the bottom of the window.

Other special repayment options may also be included : lump sum payments, unpaid payments, interest-only payments, fixed principal payments, step payments, additional principal, etc.