What comes due on a balloon loan?
Enter the loan, rate, amortization and balloon year to see the monthly payment, the balance due as a balloon, and the schedule up to that date.
01Loan
▦Balance at common balloon dates
| Balloon at | Payments made | Balance due | Interest paid by then |
|---|---|---|---|
| Year 3 | 36 | $338,544 | $72,372 |
| Year 5 | 60 | $329,461 | $119,174 |
| Year 7 | 84 | $319,016 | $164,615 |
| Year 10 | 120 | $300,343 | $229,770 |
| Year 15 | 180 | $259,066 | $328,207 |
Same loan, rate and amortization; only the balloon date changes.
±Trade-offs to weigh
Balloon loan
- Payment can be the same as or lower than a shorter-term loan
- May fit a short, planned hold such as a pending sale
- Less total interest if paid off at the balloon date
Fully amortizing loan
- No lump sum ever comes due
- No need to refinance or sell on a deadline
- Payment and payoff date are set from day one
Neither option is right for everyone. It depends on your timeline, cash and comfort with risk.
≡Schedule to the balloon (month 84 includes the $319,016 balloon)
84 payments · total interest $164,615
| Year | Interest | Principal | Balance |
|---|---|---|---|
| 1 | $24,387 | $3,555 | $346,445 |
| 2 | $24,130 | $3,812 | $342,632 |
| 3 | $23,855 | $4,088 | $338,544 |
| 4 | $23,559 | $4,383 | $334,161 |
| 5 | $23,242 | $4,700 | $329,461 |
| 6 | $22,903 | $5,040 | $324,420 |
| 7 | $22,538 | $324,420 | $0 |
ƒHow this is calculated
- Payment = the standard fixed-rate formula over the amortization term you choose, so it matches a regular loan of that length.
- Balloon due = the scheduled balance left after the balloon month’s regular payment. It is paid in one lump sum, usually by selling, refinancing or paying cash.
- Total paid = regular payments through the balloon month + the balloon amount. Interest = total paid − loan amount.
- Refinancing at the balloon date depends on rates, home value, income and credit at that time, and none of those are guaranteed.
Estimates for illustration only. This is not a loan offer, rate quote, or commitment to lend. Results come only from the numbers entered above. Interest rates are examples you supply, not advertised rates, so check current rates before deciding. Fee schedules and limits shown are published figures that can change.
This calculator is being provided for educational purposes only. The results are estimates based on information you provided and may not reflect CrossCountry Mortgage, LLC product terms. The information cannot be used by CrossCountry Mortgage, LLC to determine a customer’s eligibility for a specific product or service.
Austin Gerimonte, NMLS #2277430 · CrossCountry Mortgage, LLC NMLS #3029 · Equal Housing Lender · NMLSConsumerAccess.org