AMORTIZATION REVIEW A number of real estate license applicants have found this amortization question on their test. This assignment shows you how to do the amortization and requires you to complete two examples. EXAMPLE: We have $165,000 mortgage, 30 year term, 5.5% interest, Create an amortization chart showing the balance after three payments have been made. First, we need to calculate the monthly payment. Using the chart below, find the factor for 5.55 interest Our factor for 5.5% interest, 30 year term is 5.67789 The factor is based on the payment required per $1,000 of the mortgage amount $165,000+51,000=165 1655.67789=936.85185,roundedto936.85 So our monthly payment is $936.85 So our balance after three payments have been made is $164,455,71. Assignment One: Using the Amortization Chart you downloaded with this assignment, complete the amortization schedule using the following information: The Loan Amount is $212,500 and the interest rate is 43/8%. it is a 20-year term. The monthly payment for the mortgage will be $ What is the balance after the third payment? $ Amortization Chart