Calculate Land Contract Payments and Amortization
Estimate the financed balance, regular payment, extra-principal effect, balloon payment, interest paid and a complete land-contract amortization table. The calculator separates contract term from amortization term.
Purchase and financing
Amortization, contract term and extras
Land contract result
| Payment | Date | Beginning balance | Payment | Interest | Principal | Extra | Ending balance |
|---|
Land contract payment and balloon formulas
The financed amount equals sale price minus down payment plus any financed costs or seller credits entered with the appropriate sign. In an amortizing contract, the periodic payment follows the standard fixed-payment loan formula using the amortization term. The balloon is the principal still unpaid when the shorter contract term ends.
Amortization schedule and table
Every row applies interest to the beginning balance, subtracts scheduled and extra principal, and carries the ending balance to the next payment. Interest-only mode pays periodic interest while principal remains due at the balloon date unless extra principal is entered.
Taxes and installment-sale reporting
Tax and insurance inputs are shown as a household budget estimate but are not added to principal. Seller tax treatment can involve interest income and installment-sale rules. Obtain professional advice and use the written contract terms.
What is a balloon payment?
It is the remaining principal due at the end of a contract that was scheduled over a longer amortization period. It can be much larger than the regular payment.
Can I calculate a land contract with no balloon?
Set the contract term equal to the amortization term. Extra payments may cause payoff earlier.
Does this calculator determine whether a contract is legal?
No. State and federal requirements vary, and the calculation cannot review title, disclosures, servicing, taxes, insurance, default remedies or consumer-protection rules.