Question

You have just purchased a home and taken out a $ 510,000 mortgage. The mortgage has a 30​-year term with monthly payments and an APR of 7.12 %.

a. How much will you pay in​ interest, and how much will you pay in​ principal, during the first​ year?

b. How much will you pay in​ interest, and how much will you pay in​ principal, during the 20th year​ (i.e., between 19 and 20 years from​ now)?

Answer 1

1.
Interest=$30,149.26
Principal=$4,193.18

2.
Interest=$21,708.02
Principal=$19,502.90

Payment	Loan beginning balance	Payment	Interest payment	Principal payment	Loan ending balance
1	510000	$3,434.24	$3,026.00	$408.24	$509,591.76
2	$509,591.76	$3,434.24	$3,023.58	$410.67	$509,181.09
3	$509,181.09	$3,434.24	$3,021.14	$413.10	$508,767.99
4	$508,767.99	$3,434.24	$3,018.69	$415.55	$508,352.43
5	$508,352.43	$3,434.24	$3,016.22	$418.02	$507,934.42
6	$507,934.42	$3,434.24	$3,013.74	$420.50	$507,513.92
7	$507,513.92	$3,434.24	$3,011.25	$422.99	$507,090.92
8	$507,090.92	$3,434.24	$3,008.74	$425.50	$506,665.42
9	$506,665.42	$3,434.24	$3,006.21	$428.03	$506,237.39
10	$506,237.39	$3,434.24	$3,003.68	$430.57	$505,806.82
11	$505,806.82	$3,434.24	$3,001.12	$433.12	$505,373.70
12	$505,373.70	$3,434.24	$2,998.55	$435.69	$504,938.01
13	$504,938.01	$3,434.24	$2,995.97	$438.28	$504,499.73
14	$504,499.73	$3,434.24	$2,993.37	$440.88	$504,058.85
15	$504,058.85	$3,434.24	$2,990.75	$443.49	$503,615.35
16	$503,615.35	$3,434.24	$2,988.12	$446.13	$503,169.23
17	$503,169.23	$3,434.24	$2,985.47	$448.77	$502,720.46
18	$502,720.46	$3,434.24	$2,982.81	$451.44	$502,269.02
19	$502,269.02	$3,434.24	$2,980.13	$454.11	$501,814.91
20	$501,814.91	$3,434.24	$2,977.44	$456.81	$501,358.10
21	$501,358.10	$3,434.24	$2,974.72	$459.52	$500,898.58
22	$500,898.58	$3,434.24	$2,972.00	$462.25	$500,436.33
23	$500,436.33	$3,434.24	$2,969.26	$464.99	$499,971.35
24	$499,971.35	$3,434.24	$2,966.50	$467.75	$499,503.60
25	$499,503.60	$3,434.24	$2,963.72	$470.52	$499,033.08
26	$499,033.08	$3,434.24	$2,960.93	$473.31	$498,559.76
27	$498,559.76	$3,434.24	$2,958.12	$476.12	$498,083.64
28	$498,083.64	$3,434.24	$2,955.30	$478.95	$497,604.69
29	$497,604.69	$3,434.24	$2,952.45	$481.79	$497,122.91
30	$497,122.91	$3,434.24	$2,949.60	$484.65	$496,638.26
31	$496,638.26	$3,434.24	$2,946.72	$487.52	$496,150.73
32	$496,150.73	$3,434.24	$2,943.83	$490.42	$495,660.32
33	$495,660.32	$3,434.24	$2,940.92	$493.33	$495,166.99
34	$495,166.99	$3,434.24	$2,937.99	$496.25	$494,670.74
35	$494,670.74	$3,434.24	$2,935.05	$499.20	$494,171.54
36	$494,171.54	$3,434.24	$2,932.08	$502.16	$493,669.38
37	$493,669.38	$3,434.24	$2,929.11	$505.14	$493,164.25
38	$493,164.25	$3,434.24	$2,926.11	$508.14	$492,656.11
39	$492,656.11	$3,434.24	$2,923.09	$511.15	$492,144.96
40	$492,144.96	$3,434.24	$2,920.06	$514.18	$491,630.78
41	$491,630.78	$3,434.24	$2,917.01	$517.23	$491,113.54
42	$491,113.54	$3,434.24	$2,913.94	$520.30	$490,593.24
43	$490,593.24	$3,434.24	$2,910.85	$523.39	$490,069.85
44	$490,069.85	$3,434.24	$2,907.75	$526.50	$489,543.35
45	$489,543.35	$3,434.24	$2,904.62	$529.62	$489,013.73
46	$489,013.73	$3,434.24	$2,901.48	$532.76	$488,480.97
47	$488,480.97	$3,434.24	$2,898.32	$535.92	$487,945.05
48	$487,945.05	$3,434.24	$2,895.14	$539.10	$487,405.95
49	$487,405.95	$3,434.24	$2,891.94	$542.30	$486,863.64
50	$486,863.64	$3,434.24	$2,888.72	$545.52	$486,318.12
51	$486,318.12	$3,434.24	$2,885.49	$548.76	$485,769.37
52	$485,769.37	$3,434.24	$2,882.23	$552.01	$485,217.36
53	$485,217.36	$3,434.24	$2,878.96	$555.29	$484,662.07
54	$484,662.07	$3,434.24	$2,875.66	$558.58	$484,103.49
55	$484,103.49	$3,434.24	$2,872.35	$561.90	$483,541.59
56	$483,541.59	$3,434.24	$2,869.01	$565.23	$482,976.36
57	$482,976.36	$3,434.24	$2,865.66	$568.58	$482,407.78
58	$482,407.78	$3,434.24	$2,862.29	$571.96	$481,835.82
59	$481,835.82	$3,434.24	$2,858.89	$575.35	$481,260.47
60	$481,260.47	$3,434.24	$2,855.48	$578.76	$480,681.70
61	$480,681.70	$3,434.24	$2,852.04	$582.20	$480,099.51
62	$480,099.51	$3,434.24	$2,848.59	$585.65	$479,513.85
63	$479,513.85	$3,434.24	$2,845.12	$589.13	$478,924.72
64	$478,924.72	$3,434.24	$2,841.62	$592.62	$478,332.10
65	$478,332.10	$3,434.24	$2,838.10	$596.14	$477,735.96
66	$477,735.96	$3,434.24	$2,834.57	$599.68	$477,136.29
67	$477,136.29	$3,434.24	$2,831.01	$603.23	$476,533.05
68	$476,533.05	$3,434.24	$2,827.43	$606.81	$475,926.24
69	$475,926.24	$3,434.24	$2,823.83	$610.41	$475,315.82
70	$475,315.82	$3,434.24	$2,820.21	$614.04	$474,701.79
71	$474,701.79	$3,434.24	$2,816.56	$617.68	$474,084.11
72	$474,084.11	$3,434.24	$2,812.90	$621.34	$473,462.76
73	$473,462.76	$3,434.24	$2,809.21	$625.03	$472,837.73
74	$472,837.73	$3,434.24	$2,805.50	$628.74	$472,208.99
75	$472,208.99	$3,434.24	$2,801.77	$632.47	$471,576.52
76	$471,576.52	$3,434.24	$2,798.02	$636.22	$470,940.30
77	$470,940.30	$3,434.24	$2,794.25	$640.00	$470,300.30
78	$470,300.30	$3,434.24	$2,790.45	$643.80	$469,656.50
79	$469,656.50	$3,434.24	$2,786.63	$647.61	$469,008.89
80	$469,008.89	$3,434.24	$2,782.79	$651.46	$468,357.43
81	$468,357.43	$3,434.24	$2,778.92	$655.32	$467,702.11
82	$467,702.11	$3,434.24	$2,775.03	$659.21	$467,042.90
83	$467,042.90	$3,434.24	$2,771.12	$663.12	$466,379.78
84	$466,379.78	$3,434.24	$2,767.19	$667.06	$465,712.72
85	$465,712.72	$3,434.24	$2,763.23	$671.01	$465,041.71
86	$465,041.71	$3,434.24	$2,759.25	$675.00	$464,366.71
87	$464,366.71	$3,434.24	$2,755.24	$679.00	$463,687.71
88	$463,687.71	$3,434.24	$2,751.21	$683.03	$463,004.68
89	$463,004.68	$3,434.24	$2,747.16	$687.08	$462,317.60
90	$462,317.60	$3,434.24	$2,743.08	$691.16	$461,626.44
91	$461,626.44	$3,434.24	$2,738.98	$695.26	$460,931.18
92	$460,931.18	$3,434.24	$2,734.86	$699.39	$460,231.79
93	$460,231.79	$3,434.24	$2,730.71	$703.53	$459,528.26
94	$459,528.26	$3,434.24	$2,726.53	$707.71	$458,820.55
95	$458,820.55	$3,434.24	$2,722.34	$711.91	$458,108.64
96	$458,108.64	$3,434.24	$2,718.11	$716.13	$457,392.51
97	$457,392.51	$3,434.24	$2,713.86	$720.38	$456,672.13
98	$456,672.13	$3,434.24	$2,709.59	$724.66	$455,947.47
99	$455,947.47	$3,434.24	$2,705.29	$728.96	$455,218.52
100	$455,218.52	$3,434.24	$2,700.96	$733.28	$454,485.23