Take a look at any amortization schedule. The majority of the interest is paid in the first half of the mortgage (and the bonds in The Villages). The interest is not evenly spread across all of the payments. That is what I mean by front loading.
"Front-loading means you're paying more interest in the early years of a loan. It works due to simple math: since interest is calculated on the outstanding balance, the interest charge will be high until you pay down the principal."
How Does a Front-Loaded Mortgage Work? - Budgeting Money
The amortization schedule for the bonds can be found on districtgov.org. You can pull up any number of amortization calculators on the internet that will show you the front loading of interest.
Quote:
Originally Posted by Challenger
Neither a mortgage nor the bond has front loaded interest. Show where you found that info.
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