U
SER
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UIDE
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est, or simple interest accumulated (based on a
360-day year) during the days before the first loan
payment is made using the interest rate stored in
the Interest register.
s T
Equity Builder — Converts a regular monthly loan
to an Equity Builder loan, where the buyer may real-
ize significant interest savings. After loan variables
are entered, pressing
s T
displays the reduc-
tion in term. The second press of
T
displays the
total interest savings; third press displays the effec-
tive interest rate; the fourth press displays the total
interest paid; fifth press displays the total principal
paid; sixth press displays the total principal and
interest paid; and seventh press calculates the
Return on Investment (ROI%). Pressing
p
will cal-
culate the Equity Builder payment. Pressing
s
T
again will exit Equity Builder Mode and re-cal-
culate based on the original term.
Note: Your calculator is programmed to calculate special interest-
saving Equity Builder Pick-A-Payment loans. With the EB P-A-P,
each payment is directly applied to loan principal, or applied twice
a month – unlike other loan programs, which may apply the pay-
ments to principal only once a month, or at the end of the year.
This results in even lower interest costs than typical bi-weeklies,
as well as significant P-A-P loan investment savings.
Tax Savings Keys
s p
Estimated Tax Savings (Tax Svgs) — Calculates
an estimated annual income tax savings for a mort-
gage, based on entered loan variables, including
property tax, mortgage interest, and tax bracket. You
must enter a tax bracket, then press
s p p
to
display the estimated annual tax savings; the third
consecutive press of
p
will display the monthly tax
savings, and the fourth press will display the estimated
“after-tax” mortgage payment, or net payment.
Note: This function is different from the mortgage interest deduc-
tion figured in the Amortization calculation, as it also includes
property tax for a total estimated tax savings and only provides
an annual estimate, not an estimate for a specified range (see the
a
key definition for details).
