I want to find a calculator that can calculate a loan that has an
interest of say 7.50% for 2 years then say 8.25% for 23 years

Dear dancer1,

I've found just the thing. This calculator lets you enter the number
of years, interest rate, loan amount, annual tax, and annual
insurance. You can set the last two to zero if they don't apply in
your case.

Interest.com: Mortgage Calculator
http://mortgages.interest.com/content/calculators/simple_js.asp

If you feel that my answer is incomplete or inaccurate in any way, please
post a clarification request so that I have a chance to meet your needs
before you assign a rating.

Regards,

leapinglizard


Search Query:

mortgage calculator
://www.google.com/search?hl=en&lr=&ie=UTF-8&safe=off&c2coff=1&q=mortgage+calculator&btnG=Search

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Clarification of Answer by leapinglizard-ga on 17 Sep 2004 12:57 PDT

dancer1,

Is this what you wanted, or do you need a different kind of
calculator? Do let me know if it's not exactly what you need.

leapinglizard

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Clarification of Answer by leapinglizard-ga on 17 Sep 2004 14:04 PDT

Dear dancer1,

Please ignore the calculator I recommended above. It only works for
fixed-rate mortgages, whereas I've come to understand that what you
really need is a calculator for an adjustable-rate mortgage, otherwise
known as an ARM. (Thanks to research_help for his comment below!)

Several ARM calculators are available on the web. The simplest I've
seen is the following.

DinkyTown: Adjustable Rate Mortgage Calculator
http://www.dinkytown.net/java/MortgageAdjustable.html

I don't know what the mortgage amount is in your situation, but you
mentioned a "starting interest rate" of 7.50% . Then you set the
"months before first adjustment" to 24 months, since it stays at 7.50%
for two years. The "months between adjustments" is not important here,
so just leave it at the default value. What's important is to set the
"expected adjustment", which is 0.75% in the case you mentioned,
because 7.50% + 0.75% = 8.25% . Finally, the "interest rate cap" is
8.25%, since that's what you want it to be for the rest of the loan
after the first two years. And then, hey presto, you have your
calculation.

I believe this calculator is just what you need. If it still isn't
what you had in mind, do let me know and I'll be on the case again.

leapinglizard

Search Query:

arm mortgage calculator
://www.google.com/search?hl=en&lr=&ie=UTF-8&c2coff=1&q=arm+mortgage+calculator

Leapinglizard-
You have interpreted the question as if the customer is asking about 2
distinct loans. I believe they were asking about 1 loan that charges a
rate for the first x years and then adjusts to a new rate the next x
years. You would need to find a calculator that will let the customer
see the principal remaining at the end of the first years so that this
can be the staring figure for the second set of years.

Thank you for the heads-up, research_help. I'll find an
adjustable-rate mortgage calculator instead of the fixed-rate mortgage
calculator.

leapinglizard