How much will my payments be for a balloon mortgage?
The term of a balloon mortgage is usually short (e.g., 5 years), but
the payment amount is amortized over a longer term (e.g., 30 years). An advantage of these loans
is that they often have a lower interest rate, but the final balloon payment is substantial.
This calculator computes the payment amount necessary for a mortgage with a balloon payment,
using monthly interest compounding and monthly payments.