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The Frugals buy a home and assume a $190,000 30-year mortgage @ j (12) = 8...

The Frugals buy a home and assume a $190,000 30-year mortgage @ j (12) = 8 %.

They decide to amortize the debt quicker, and they pay an extra $400 toward

principal each month. How long will it take them to retire their mortgage?

Solutions

Expert Solution

Time required to retire the mortgage= 184.24 months or 15.35 years.

Calculation as below:

jeff jeffy answered 2 years ago
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