Chapter 11

Amortization

Where each payment goes, and what is still owed

An explorable chapter on amortization for the real estate exam: the monthly payment from a factor, splitting a payment into interest and principal, how the split shifts over the years, the balance still owed and the total interest over the term.

1. 11.1
   The monthly paymentA factor for every $1,000 borrowed
2. 11.2
   Interest first, then principalInterest is charged on what is still owed
3. 11.3
   The split shifts over the yearsSame payment, more principal every month
4. 11.4
   The balance still owedSlow at first, fast at the end
5. 11.5
   Total interest and the termEvery payment, less what was borrowed
6. 11.6
   One payment, split at the forkThe whole schedule, worked on a new loan

1 interactive 3D scene · 5 slider tasks · 3 practice sets · 14 questions