Forum Discussion
spreadsheet to track mortgage interest paid and interest paid to borrow the funds to establish the m
First suggestion: Please post a copy of whatever spreadsheet you've developed so far.
This would include the various numbers to incorporate:
- interest rate on the loan
- interest rate on the mortgage
- term of the loan
- term of the mortgage (30 year? 15 year?)
- payment schedules (monthly? quarterly)
- amount of loan
- amount of mortgage
Are you expecting both loan and mortgage payments to include principle AND interest, or will one or both be interest only? Do you want to allow for payments over and above the principle?
I gather you're the one who will be paying off the loan, and you are the one granting the mortgage... it's not necessary for you to reveal private or confidential data here, but it would help if your role is clear AND if some realm of reality is reflected in the numbers referenced above (i.e., you don't need to tell us the actual amounts of the loan/mortagage, but something that gives an idea of the ratio....and is somewhat "real world" like)
First suggestion: Please post a copy of whatever spreadsheet you've developed so far.
This would include the various numbers to incorporate:
- interest rate on the loan
- interest rate on the mortgage
- term of the loan
- term of the mortgage (30 year? 15 year?)
- payment schedules (monthly? quarterly)
- amount of loan
- amount of mortgage
Are you expecting both loan and mortgage payments to include principle AND interest, or will one or both be interest only? Do you want to allow for payments over and above the principle?
I gather you're the one who will be paying off the loan, and you are the one granting the mortgage... it's not necessary for you to reveal private or confidential data here, but it would help if your role is clear AND if some realm of reality is reflected in the numbers referenced above (i.e., you don't need to tell us the actual amounts of the loan/mortagage, but something that gives an idea of the ratio....and is somewhat "real world" like)
I am trying to calculate mortgage interest amounts for a mortgage I hold. The balanace is 54,953.18, 5.5%, monthly payments $656.
What is a formula for calculating monthly interest? How do I specify division? I have used balance x 5.5% divide by 365 days x number of days in month. I am not sure I have the division indicator correct. I get an error message that reads #NAME?You wrote:
What is a formula for calculating monthly interest? How do I specify division? I have used balance x 5.5% divide by 365 days x number of days in month. I am not sure I have the division indicator correct. I get an error message that reads #NAME?
It would help if you copied the actual formula.
For example, I'm interpreting what you've said to mean that your actual formula reads something like the following:
=A1*((.055/365)*B1
where A1 is the cell containing balance and B1 is the cell containing the number of days in the month
In any event, to answer your question about the "division indicator," it's the / character. So .055/365 is read by excel to mean ".055 divided by 365"
That said, maybe the most helpful thing with regard to calculating interest rate would be to refer you to the built-in function that performs that task. RATE Here's an on-line reference that explains it in detail. https://exceljet.net/excel-functions/excel-rate-function
mathetes it was @ssmccayjunocom who wrote that question to you. it wasn't me. he seems to have found you from your replies to me earlier
but thank you again
- note there is no formulae as I am a relative novice with no formal training
See if the attached makes sense. FWIW, I know my way around Excel, but am NOT a financial expert. The financial functions are available to you as they are to me. I tried to make sense of them here, and think the numbers look realistic, but would happily hear from others who may know them more fully.
I did make use of a few assumptions which you can change, in the tables there with a light blue background. The variables there are referenced by name in the formulas.
In the case of the Loan, I kept the loan balance as a steady 350K; in the case of the mortgage, the balance declines by the amount of principle paid each month.
