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Balloon Mortgage
Payment Calculator

Considering a short-term mortgage with lower monthly payments? The Balloon Mortgage Payment Calculator helps you estimate your monthly payments and the final balloon payment due at the end of the loan term—so you can fully understand your repayment obligations before you commit.



Balloon Mortgage Calculator

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Balloon Payment at End:

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What is Balloon Mortgage Payment Calculator

The Balloon Mortgage Payment Calculator is a specialized financial tool designed to estimate both the periodic monthly payments and the large lump-sum payment—known as the balloon payment—due at the end of a balloon mortgage term. Balloon mortgages typically offer lower monthly payments for a set period (usually 5–7 years), followed by one final large payment to cover the remaining principal.

This calculator is especially useful for buyers or investors planning short-term occupancy, expecting a future refinance, or anticipating a major financial windfall before the loan matures. It helps users visualize the upfront affordability of a balloon mortgage while clearly laying out the financial impact of the end-of-term obligation.




How it works

Balloon Mortgage Payment Calculator

To use the Balloon Mortgage Payment Calculator, you enter your total loan amount, interest rate, loan term (usually 5, 7, or 10 years), and amortization period (often 30 years). The calculator uses these details to generate your monthly interest-plus-principal payment based on the amortization schedule and then calculates the balloon payment remaining at the end of the loan term.

For instance, if you borrow ₹50 lakhs at 7% interest on a 5-year balloon mortgage with a 30-year amortization, the calculator will show monthly payments as if it were a 30-year loan—followed by a large balloon payment at the end of year five, which could be upwards of ₹46 lakhs. This gives you full visibility into both the short-term benefits and long-term risks of a balloon loan, enabling smarter decisions and better financial planning.



Frequently Asked Questions

What is a balloon mortgage Toggle
A balloon mortgage is a loan where you make regular payments for a set period, after which the remaining balance is due in one large lump-sum payment.
Why would someone choose a balloon mortgage Toggle
It offers lower initial monthly payments, making it attractive for short-term homeowners, investors, or those expecting future income or refinancing.
What happens if I can’t make the balloon payment Toggle
You must refinance, sell the home, or pay the balance out of pocket. Failing to do so can lead to default or foreclosure.
Is the balloon payment amount predictable Toggle
Yes. It’s calculated based on the amortization schedule, interest rate, and term length. The Balloon Mortgage Calculator gives you a precise estimate.
Are balloon mortgages risky Toggle
They carry more risk than traditional fixed-rate loans, especially if market conditions change and refinancing becomes difficult when the balloon payment is due..