Equal monthly instalments are paid to settle a home loan over twenty years. Which kind of annuity is that?

1. Ask whether money is being built up for later or paid off from now. 2. A future value annuity builds up a balance through regular deposits into a savings fund. 3. A present value annuity pays off a loan or bond whose balance reduces with each instalment. 4. A home loan repaid in equal instalments is therefore a present value annuity. 5. A sinking fund is a savings arrangement, which makes it a future value annuity instead. _Source: Siyavula Mathematics Grade 12 (Everything Maths, CC BY 4.0), Chapter 3: Finance_