A Biweekly mortgage loan is amortized the same way as other loans with monthly payments, except the borrower makes payments every 2 weeks.
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Each payment is half of the regular monthly payment
Borrower makes 26 biweekly payments, which is equivalent of an extra month’s payment each year.
With a Partially amortized mortgage, the buyer makes regular payments smaller than what is required to completely pay off the loan by the date of termination. Regular payments do not completely pay off the loan at the end of the term.
A single large final payment, called a balloon payment, of accrued interest and remaining unpaid principal is made at loan maturity.
Information courtesy of Rowlett Real Estate School LLC
Call Captain Wayne Rowlett for information on Real Estate Training, or visit our website at
http://www.rowlettrealestateschool.com
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