Working out ROUGH mortgage repayment amt!?

Soontobewed

Registered User
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Hi all

thanks for previous advice.

Another FTB silly question here,

Just trying to work out ROUGHLY the monthly monthly repayment amt so need to know if the following example is correct- 90 % loan over 30 years, loan amt provided example 200k

so bank loans 200k , we pick fixed int over 5 years , at rate of say 3% interest.

By my rough FTB calculation that works out as 200k/30 years= 6666.67 per year x by 3% interest is €6866 gross per year , divided by 12 months is 572.22 gross amt per month before int relief .

would this ROUGH calculation be correct?

many thanks

STBW
 
If its a capital and interest repayment mortgage then your rough calculation is not correct , and that is not the formula for calculating a capital and interest mortgage.


There are plenty of on line calculators you can use to work out an accurate repayment
 
you are way off the mark, your mistake is that you have only calculated interest using simple interest. however, the bank charges you charges you interest for every month of the mortgage so you need to do a compound calc.

However, this is quite complicated so suggest you use the online mortgage calculators. The answer should be in or around 500 euro per 100,000 euro borrowed.
 
You're buying over a 30 year time frame. I'm guessing the long term average mortgage rate is over 6%, so it might be wise to budget accordingly.
 
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