20190212 How much is interest in a mortgage?

20190212 (Tue)

Now, how much is paying interest of 45% within the total amount of mortgage?

It is RM2,293.47 x 30 x 12 x 45% = RM371,542.14.

Total repayment sum is RM825,649.20, meaning you have paid for a house RM500,000 with RM825,649.20.

Is it worth it?

Why not you use the total RM4,674.58 (don’t buy the house) for a fund investment than paying for the house? This is what many would say…

RM4,674.58 x 1,260 = RM5,889,970!

Put all the money into the fund! After 30 years, take out RM5.89 mio and buy a house? Meanwhile, just sleep in public park or train station?

Then again, RM500k would not be able to buy that house in another 30 years. Probably a small apartment somewhere out of town would do? What is your choice of living?

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