Mortgages
There are three different types of mortgages you can reflect in the system:
You can also just enter the existing Balance and Monthly payment, that amount will be paid until the Balance is fully depleted.
For both adjustable rate and interest only mortgages, the 'Loan term' should be the total term, not the duration after the initial term. For example, a 30-year interest only mortgage with a 10-year interest only period should be entered with an initial period of 10 and loan term of 30.
All mortgage information will show on the Summary / Expenses / Housing page in the Cash Flow details.
Home Equity
Home equity loans / lines of credit will display in the Home equity line on the Balance Sheet details and on the Summary / Expenses / Debt page in the Cash Flow details.
Reverse Mortgage
Reverse mortgages allow you to reflect a HECM mortgage, including the income associated with that mortgage. You can specify an ongoing Annual income amount which will be included as tax-free income until the point specified as when the Income ends. Reverse mortgage income will display in the Cash Flows under Summary / Income Inflows / Other Income
The reverse mortgage balance will accumulate each year, reflecting interest, any additional income received, a 0.5% HECM mortgage insurance premium, and any Annual fee that you specify. You can see this on the Net Worth page of the Cash Flows.
Reverse mortgages are only available if the owner of the reverse mortgage is age 62 or older.
Student Loans
For more information, please visit the separate Student Loans page.
Additional Loans
For Car loans or Other loans, you can specify the Monthly and Minimum payments, the Interest rate, and current Balance. Each month, interest will be added to the loan and the greater of the Monthly and Minimum payments will be made, until the Balance is fully depleted.