Math Solution

[siguser]

I have devised a simple excel spreadsheet that helps me in the house buying process to know what i can afford. I have it set up to where i only have to plug in the asking price and the annual taxes, and everything calculates and tells me what my monthly payment would be (including taxes, insurance, principle, and interest). It also tells me in a separate cell how much over or under my monthly budget it would be.


I need help because if i type in an asking price that is over my monthly budget, i want a separate cell to tell me how much i would need to offer to get the house within my monthly budget. What formula would i use to do this?

I am providing a link to the spreadsheet. Note that you only need to modify cells B40 and D40 to output the necessary data. Cells C46 and C50 tell me the information i need to know. However i want to add another cell to tell me how much cell B40 would need to read in order to make cell C50 read $0.00.


Thanks for your help!



http://www.easy-share.com/1914134374/mortgage-payment-calculator.xls

 

[Richard Schollar]

Hi

If you have the total monthly spend you can afford (including taxes et al) then you can determine the maximum initial cost this implies (for a given maturity of the mortgage and at a given interest rate) by using the PV function.

 

[siguser]

The PV function does not really help me in this situation. Or perhaps i am using it wrong.

 

[tusharm]

The annual tax should be a function of the asking price, shouldn't it?

To adjust the asking price so that you have an acceptable monthly payment, use Excel's Goal Seek feature -- or its big brother Solver.

I have devised a simple excel spreadsheet that helps me in the house buying process to know what i can afford. I have it set up to where i only have to plug in the asking price and the annual taxes, and everything calculates and tells me what my monthly payment would be (including taxes, insurance, principle, and interest). It also tells me in a separate cell how much over or under my monthly budget it would be.


I need help because if i type in an asking price that is over my monthly budget, i want a separate cell to tell me how much i would need to offer to get the house within my monthly budget. What formula would i use to do this?

I am providing a link to the spreadsheet. Note that you only need to modify cells B40 and D40 to output the necessary data. Cells C46 and C50 tell me the information i need to know. However i want to add another cell to tell me how much cell B40 would need to read in order to make cell C50 read $0.00.


Thanks for your help!



http://www.easy-share.com/1914134374/mortgage-payment-calculator.xls