5 Amortised Mortgage

Learn how to calculate your monthly mortgage payments with this comprehensive guide. We break down the process step-by-step, starting with a mortgage principal of 1 million pounds and an annual interest rate of 6%. You'll discover how to adjust the annual percentage rate for monthly payments and determine the total number of periods. The video explains how to use the annuity formula to find the exact monthly payment amount. Furthermore, it details how to calculate the principal and interest components of any specific monthly installment, using the 61st payment as a practical example. This essential knowledge will help you understand your mortgage amortization thoroughly. Subscribe to @AxiomTutoringCourses for more finance tutorials.