How To Calculate a Mortgage Payment with an HP 10bii Financial Calculator for Real Estate Investors
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How To Calculate a Mortgage Payment with an HP 10bii Financial Calculator for Real Estate Investors

– Hey, Tyler here, with
the Cash Flow Guys Podcast. In this video, we’re going to learn about how to calculate a mortgage payment on a property you’re getting ready to buy. Here we go. You’re going to start by using the Hewlett Packard . 10Bii financial calculator. If you look here across the top, I know there’s a lot
of numbers to look at, a lot of things are confusing, we’re going to dumb it down real easy. We’re only going to focus
on the top five letters, top five buttons across the top, and of course the numeric
portion of the calculator. N stands for number of payments per year. I/YR stands for interest rate per year. PV stands for present value. PMT stands for payment. And FV stands for future value. Let’s start with N. We’re going to talk
about a 30 year mortgage. So 30 year mortgage, is 360 payments. How I calculated that was, I went 30, multiply 30 by 12 which gives me 360. So we’re going to do
360 payments and hit N. Now interest rate per year. Let’s say we’re told the interest rates going to be five percent. So we’re going to hit the five key, and then I/YR, okay? I/YR. And let’s say we’re
going to borrow $100,000. We’ll type 100,000 in the calculator, then push the PV button. And lets say the future value
of this is fully amortized, which means at the end of the 30 years, there will be no balance remaining. So we will hit zero, for no future value. And what’s left is what we’re solving for. We don’t know the payment, that’s why we’re doing the calculation. We’re going to hit the payment key, it tells us that the
payment will be $536.82 for a 30 year loan fully amortized, five percent interest. This comes from, this app is put out by In a Day Development.
In a Day Development. If you go to and purchase it from them
or from the iTunes store, or the Google Play store, they’ve got tons of videos, you can do far more complex calculations. I’m not convinced that you’re necessarily going to need those as
a real estate investor, but if you want to geek
out on the financial math, go ahead you can do it
right on their website at If you found this video helpful, please make sure you like
this video and subscribe. If there’s more things you want to learn, leave them in the comments below. Hit the thumbs up button, and thanks for coming out and joining me. Have a great day. (upbeat music)


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