Loan Amortization in Excel

lipidicman · 22 February 2006 at 3:49PM

A good tip for those that want to investigate the effects of overpayments and interest rate changes is to look at the 'Loan Amortization' template in your copy of excel. This will reveal that doubling you payment will cut the repayment time to 1/3. Also, £2k spent in the first year would save you ~£5000 over the 25yr period of the loan. Makes you think twice about that new sofa doesn't it and shows the downside of extending your mortgage as a cheap personal loan (ie low rate, but long timescale). Very interesting

youreds · 22 February 2006 at 5:14PM

lipidicman wrote:

A good tip for those that want to investigate the effects of overpayments and interest rate changes is to look at the 'Loan Amortization' template in your copy of excel.

At the request of another MSEr in the Offset sticky thread, I knocked up a spreadsheet for comparing an Offset mortgage to a repayment mortgage with seperate savings. The spreadsheet is a good way of seeing when you could be mortgage free if you are saving a regular amount each month.

Click here to see my post in the offset thread

Click here to get the spreadsheet

The mortgage part of the spreadsheet is unchanged from the M$ template, everything to the right in blue & yellow is what I have added.

Just remortgaged ourselves, £84k over 23 years, hopefully have it cleared in 5 if I keep the current job!

Youreds!

Hawksmuir · 23 February 2006 at 10:01AM

The excel spread is the one I use, great for showing just how much difference small overpayments make :T

delluver · 23 February 2006 at 5:20PM

Excellent - just what I'm looking for!

Delluver

savingpennies · 25 February 2006 at 7:41PM

Just wanted to thank Youreds for the spreadsheet. After playing around with it, adding my own figures and using a couple of interest rates and over payment amounts I've worked out how to pay off our 17 year mortgage in about 8 years. So the plan is to remortgage to a better rate (currently 5.95%) thereby cutting the monthly payment, overpay the current monthly amount by about £200 per month (I was able to save this by following advice on OS board), and use OH's annual bonuses (working on the smallest amount he's ever been given). By which time my kids will need help buying their own homes!!

bizzy_lizzie · 27 February 2006 at 2:37PM

Hi
I am trying to download the spreadsheet & it comes up as WEBSENSE 'adult content' & wont open ! Could some PM me it to bypass websebse ( assuming there is not actual adult content)?

Thanks

Bizzy Lizzie

delluver · 27 February 2006 at 2:45PM

Try this:

http://www.forgemill.co.uk/offsetornot.xls

Delluver

bizzy_lizzie · 27 February 2006 at 2:48PM

This is what I get. Weird or what ?
Bizzy Lizzie

Reason:
The Websense category "Adult Content" is filtered.

URL:
http://www.forgemill.co.uk/offsetornot.xls

delluver · 27 February 2006 at 2:49PM

bizzy_lizzie wrote:

This is what I get. Weird or what ?
Bizzy Lizzie

Reason:
The Websense category "Adult Content" is filtered.

URL:
http://www.forgemill.co.uk/offsetornot.xls

Very odd - must be your browser settings? Have you some kind of content inhibitor set?

Delluver

bizzy_lizzie · 27 February 2006 at 2:51PM

Maybe. I am at work ( at lunch,honest). I'll try tonight from home.

Thanks for trying
Bizzy Lizzie

delluver · 27 February 2006 at 2:52PM

bizzy_lizzie wrote:

Maybe. I am at work ( at lunch,honest). I'll try tonight from home.

Thanks for trying
Bizzy Lizzie

Yes, that will be the problem - pm me with an email addy, and I will email the spreadsheet to you if you like.

Delluver

Loan Amortization in Excel

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