Home Financing

Home Financing

Introduction to mortgage loans. Created by Sal Khan.

Watch the next lesson:
https://www.khanacademy.org/economics-finance-domain/core-finance/housing/mortgages-tutorial/v/mortgage-interest-rates?utm_source=YT&utm_medium=Desc&utm_campaign=financeandcapitalmarkets

Missed the previous lesson? Watch here: https://www.khanacademy.org/economics-finance-domain/core-finance/housing/renting-v-buying/v/renting-vs-buying-detailed-analysis?utm_source=YT&utm_medium=Desc&utm_campaign=financeandcapitalmarkets

Finance and capital markets on Khan Academy: Most people buying a home need a mortgage to do so. This tutorial explains what a mortgage is and then actually does some math to figure out what your payments are (the last video is quite mathy so consider it optional).

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20 Comments

  • ricerust

    January 10, 2016 at 7:37 pm

    can someone help me get a mortgage loan for a single wide mobile home. my bank jus told me they dont do single wide but double wide on a permanent foundation. bullshit i dont need a double wide which cost more

  • carlos skenandore

    February 19, 2016 at 4:41 am

    This was really helpful, I'm in college and I'm pretty interested in this. Potential career field for me. Thanks again

  • Ken C

    March 17, 2016 at 2:17 am

    What device was he using to write on?

  • Khal Drogo

    May 3, 2016 at 4:19 am

    No wonder banks are so freaking rich…

  • sino7

    June 27, 2016 at 11:50 pm

    thank you!!!!

  • Annie Cui

    July 4, 2016 at 10:05 pm

    So helpful. Thank you so much!!

  • Sarah Collins

    August 4, 2016 at 4:03 am

    This is wonderful. Thank you!

  • Abdoul Rachid Ayouba

    August 6, 2016 at 4:19 am

    i love this guy

  • H W

    August 6, 2016 at 5:43 pm

    Thanks !

  • lonwoogmail

    August 20, 2016 at 4:34 am

    wow. it's nice to be a bank.

  • Евгений Попов

    August 24, 2016 at 3:50 pm

    hghkj

  • Fire Insurance

    September 5, 2016 at 8:14 am

    Nice vedio

  • Kenz300 x

    December 5, 2016 at 11:27 pm

    Seems like the insurance industry and the mortgage industry need to rethink their risks.
    Miami is still building mega projects even tho the forecast of rising waters makes these projects a long term looser.
    Seems like the developers do not care because they make their money in a couple of years and then they are out.
    The buyers with long term mortgages are left holding the bag. Banks need to stop lending money for properties that will be impacted by rising waters and frequent storms.

  • hlub1111

    February 27, 2017 at 3:35 am

    Khan, do you have an excel sheet or a way to calculate the exact amount of interest being paid after 30 years of mortgage payments? I would like to find out how much money I will be losing in the long run with a mortgage. I already downloaded your excel sheet here, but wondered if there was a quicker way of finding out the total interest payments in 30 years rather than calculating 360 months. =) if possible…

  • Enzo Braganza

    March 17, 2017 at 6:48 am

    Came here to try and understand everything about the movie "The Big Short". The terminologies on that movie is sooo overwhelming, not even knowing most of the words being said. First step, I guess.

  • Wouter Dewet

    April 5, 2017 at 8:42 pm

    Can you PLEASE!!! Explain the Helper Variable? That is where the real math lies but alas, it is above my creative brains capacity. I really want to understand how you calculated the monthly payments and interest and all the math there of.

  • R Feyman

    April 6, 2017 at 12:31 am

    Well this is how it used to work. Now banks call up Wall Street to securitize pretty much all loans. The bank gets a check right away for selling this asset and goes out and makes more loans. Wall Street bundles the loans and sells it off to fund managers who will put it in your retirement accounts if you are lucky enough to have one these days. Wall Street also creates synthetic derivatives and sells that off to fund mangers as well who are all to happy to add that crap, sorry, asset to your retirement account. More Americans should watch movies such as the Big Short to learn what is going on. You can also search youtube and many clips from the movie are available where they explain in non technical terms how the game is played.

  • Omar Bubteina

    June 20, 2017 at 5:57 am

    Thank you so much for this video!

  • ZBestLoans.com

    July 5, 2017 at 4:35 am

    Mortgage = French for dead Pledge. (the promise pledge will die once paid off). Interesting word from mortuary and engage.

  • yeahdude1986

    July 20, 2017 at 12:06 am

    I calculated at 75k with 25% down @ 5.5% interest rate over 30 years is ALMOST 115k!!!!!!!!!!!!!!!!!!!!!!!!!!!