Reviewed by Craig Hoebing, AZ Commercial Mortgage Banker CMB-1047342 · Updated October 2026
What the schedule leaves out
A permanent commercial mortgage is often a long amortization inside a shorter term. The payment looks like a 25-year loan. The balance at year 10, or whatever maturity the note uses, is still due. Refinancing that balloon is a separate loan. The Arizona commercial refinance page is the arrangement conversation. This schedule is the arithmetic.
Interest-only for the whole term is the switch on this page. A loan that is interest-only for two years and then amortizes is a different payment. Build that second payment by running the calculator again on the remaining balance. Prepayment, yield maintenance, and defeasance are not in the schedule. Estimate those patterns on the prepayment penalty estimator, still from numbers you type.
Coverage on the recurring payment, ignoring the balloon, is the DSCR calculator. Sizing a new loan from income, value, and a rate you type is the commercial loan rates and calculator. Words for amortization and balloon are in the glossary.
Questions
- What is the balloon on this calculator?
- The unpaid principal after the last regular payment of the term. You set the term shorter than the amortization. If you leave the term blank, the loan fully amortizes and the balloon is zero. An interest-only loan balloons for the original principal.
- Does the interest-only toggle quote a rate?
- No. You type the rate. Interest-only means the payment is interest for the whole term and principal is due at the maturity you enter. It is not a Capital Market Funds coupon and not an offer to lend.
- Is this a consumer mortgage calculator?
- No. It is for a commercial loan or an investor loan on income-producing property. It is not a consumer home-loan calculator and it does not size an owner-occupied house.
Commercial loan rates and calculator · DSCR calculator · Prepayment penalty estimator · Arizona commercial refinance · Glossary · All tools