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 1tan
Joined: 30 May 2006
Posts: 4
0.17 Dollars($)
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 Posted: Tue May 30, 2006 4:34 pm Post subject: 15 year balloon mortgage with 30 year amortization schedule |
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| What is a 30/15 balloon? I understand the balloon, but not sure I am interpreting this format correctly. |
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jameshogg
Joined: 20 Dec 2005
Posts: 4189
Location: nevada
492.91 Dollars($)
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| Posted: Tue May 30, 2006 4:43 pm Post subject: |
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Hi,
This is a fixed rate balloon loan product. Here, the rate remains fixed for 15 years and the payment is amortized over a period of 30 years to give a lower monthly payment.
The loan becomes due and payable as a balloon loan at the end of the 15 year period. |
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1tan
Joined: 30 May 2006
Posts: 4
0.17 Dollars($)
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| Posted: Tue May 30, 2006 4:45 pm Post subject: Balloon Mortgage |
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| Thanks a million! |
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jameshogg
Joined: 20 Dec 2005
Posts: 4189
Location: nevada
492.91 Dollars($)
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| Posted: Tue May 30, 2006 4:50 pm Post subject: |
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Hi,
It was my pleasure. Feel free to visit our community and share your queries and views with us. 
James |
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blue
Joined: 21 Oct 2005
Posts: 1138
Location: MARYLAND
137.81 Dollars($)
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| Posted: Tue May 30, 2006 5:18 pm Post subject: 30/15 balloon |
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A 30/15 balloon is a 15 year balloon having the payment of a 30 year mortgage. The payments appear as if it was a 30 year loan but the loan has to be paid off in 15 years.
You can choose whatever schedule you want to meet the payments. For example, you van make extra payments towards the principal so as to get it paid off in 15.
This loan is very common especially its fixed rate makes it attractive. You have the option to pay faster on your own to get it paid down faster.
You can refer the page on "Balloon Mortgage" to know more about it.
_________________
Lets help each other. Try my blog |
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1tan
Joined: 30 May 2006
Posts: 4
0.17 Dollars($)
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| Posted: Tue May 30, 2006 5:22 pm Post subject: Balloon |
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| Thanks so much! |
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