Texas Instruments BA Real Estate User Manual

30 Mortgages and Amortization
BEAR-CH1.DOC BA Real Estate Guidebook Jackie Quiram Revised: 09/28/99 1:16 PM Printed: 09/28/99 1:16 PM
Page 30 of 36
You know that the property taxes and insurance rates for
the lake area average 2.38% and 0.78% respectively. The
couple has $20,000 to use as a down payment. With a
30-year note at 9%, what will their mortgage payment
(PMT) and total monthly payment (PITI) be?
Press
# ,
until the BGN indicator disappears.
Steps Keystrokes Display
Clear TVM values.
#
-
0.00
Set P/Y and C/Y to 12.
#
+
12
j
j
P/Y = 12.00
C/Y = 12.00
12.00
Enter local tax rate.
2.38
#
Z
TX%= 2.38
Enter insurance rate.
.78
#
Q
IS% = 0.78
Enter price of
property.
85
q
@
PRC= 85,000.00
Enter term in years.
30
0
TRM= 30.00
Enter interest rate.
9
1
I% = 9.00
Enter price less down
payment.
85
q X
20
q
j
2
LN = 65,000.00
Compute mortgage
payment (principal
and interest).
$
3
PMT=
-
523.00
Compute total
monthly payment
(PITI).
$
&
PITI=
-
746.83
Note: If you do not enter a value for sales price, the tax
and insurance percentages will compute PITI based on the
loan amount. The result will be a smaller PITI payment
than expected.
Computing Total Payment (PITI)
A couple is interested in a small lake-front property, for
which the owner is asking $85,000. The buyers need to
know the approximate amount of their total payment on
the property.
Background
Solution

Texas Instruments BA Real Estate Specifications

General

Type	Financial Calculator
Memory	10 memories
Power	Battery
Battery Type	CR2032
Automatic Power Down	Yes
Real Estate Functions	Yes
Financial Functions	Yes
Statistical Functions	Yes
Display	10-digit LCD