Aldeer.com Forums Alabama Deer Talk Aldeer General Forum Mortgage payoff calculation help

Need some help.

How can I calculate a payoff of a mortgage or home sell contract? I'm the seller, in this case.

In this case we have a contract for x dollars. Monthly payments of some amount, part of which are for the contract and part retained for escrow for property tax and insurance.

And have interest involved also

Also a late fee is involved if full payment not made monthly by a certain date.

Do any of you know of how I could calculate the payoff? Waiting to hear back from my attorney but wanted to come up with a rough estimate myself.

Can you not just ask the bank for payoff amount?

Thats how I did it not to long ago.

Just do a mortgage calculator, set start as your first payment date and look at the amortization to today

Call your bank. Give them the estimated closing date and tell them that you need the mortgage payoff, as of that date, and the pro-rata daily interest amount. They will give you the actual payoff as of the day you tell them and then a daily interest amount that you can either add, if the closing pushes out, or subtract if the closing happens sooner.

Guys, in this case, I'm the bank. I was asked the payoff, now I'm trying to calculate it to tell the buyer.

The only folks involved were the attorney, who drew up the contract, me (seller) and the buyers.

The payments made varied widely, from zero to more than the monthly payment as specified in the contract.

I figured you were holding the note. I can't do the calculation but you could probably get your bank loan officer or a closing company to help you with this calculation. Maybe have to pay for the closing company to write it up for you.

Going to be hard to calculate it unless you have a record of each payment amount, how much went toward interest/principal, fees, etc and were keeping track of it as you go.

Frog, check your pm's. I can help you out if you've got the information that's needed to calc it.

Thanks, there are a lot of variables in this. All I remember is i=prt

Just tell them everything they paid was interest for headaches and they owe the full amount originally sold for

This all started in 2018, they were going to get an inheritance and pay it off. That didn't happen but they had made good progress. In 2020, I did a new contract adding in the escrow so I could have the money for taxes and insurance and also added in the interest and increased the late fee.

But you're right, it's been a headache. Throw in covid and checks to sit at home, it's been a mess.

So you own the home outright, and are doing a private mortgage to the current residence, correct?


There are amortization calculators/schedules online that may help calculate a total

you would have to manually go and calculate each individual month for interest accrued and interest paid, as interest due would vary monthly as balance drops and more or less principle is paid. sounds like a good thing to pay a cpa to do.

you could do an amortization schedule, but that would only give you what should be paid if it is paid on time. if the payments and payments date varied, it will be a mess to calculate.

Correct. Amortization schedule would have to be customized to reflect the off-timed/late or missed payment dates, and varying payment amounts.

Yeah the am schedule would be messy considering the missed/varying payments, but you could use one to give a general figure as if payments HAD been made on a regular, recurring basis. But it wouldn’t give an exact figure without a lot of adjustments

And add in the late fees and subtract the escrow amounts?