Interactive Bond Pricing & Mortgage Calculator
Interactive Bond Pricing & Mortgage CalculatorCourse: ECON2132 - Money and Banking | Chapters 4 & 5
Overview
A web-based educational tool that transforms abstract financial formulas into interactive, visual learning experiences. Students can explore bond pricing, yields, and mortgage calculations with instant feedback.
Key Features
📊 Coupon Bond Calculator
| Feature | Description |
|---|---|
| Bond Pricing | Calculate present value with adjustable inputs |
| Current Yield vs. YTM | Compare yield measures side-by-side |
| Price-Yield Curve | Visualize the inverse relationship |
| Interest Rate Risk | See how duration affects price sensitivity |
📚 Other Bond Types
Simple Loan, Fixed Payment Loan, Discount Bond, Consol (Perpetuity)
🏠 Mortgage Calculator
| Feature | Description |
|---|---|
| Affordability | “How much can I afford?” using the 28/36 DTI rule |
| PITI Breakdown | Principal, Interest, Taxes, Insurance + HOA + Closing Costs |
| Amortization | Monthly schedule with principal vs. interest charts |
| Loan Comparison | 15-year vs. 30-year side-by-side |
| Extra Payments | Calculate savings from additional payments |
Why This Tool?
| Traditional Teaching | This Calculator |
|---|---|
| Static textbook examples | Unlimited interactive scenarios |
| Abstract formulas | Visual charts + instant results |
| Manual calculations | Immediate verification |
| Theory-focused | Real-world mortgage context |
Benefits
For Instructors:
- Live classroom demonstrations
- Instant “what-if” analysis
- Less time on arithmetic, more on concepts
- Supports flipped classroom and assignments
For Students:
- Understand — See relationships, not just formulas
- Practice — Verify homework, prepare for exams
- Apply — Connect theory to real mortgage decisions
- Retain — Visual learning improves memory
For Learning Outcomes:
- Deeper conceptual understanding → better exam performance
- Real-world context → improved financial literacy
- Hands-on practice → increased confidence with financial math
Access
| Platform | Web browser (any device) |
| Cost | Free |
| Login | Not required |
Zhengyang (Robin) Chen
Assistant Professor in Economics
My research interests include Macroeconomics and Monetary Economics, Time Series Analysis and Financial Markets.