Your friend purchases a $165,000 house. He is able to make a 20% down payment. The...

Your friend purchases a $165,000 house. He is able to make a 20% down payment. The bank will give him a 30-year loan with a 4% APR.

How much interest will your friend pay over 30 years to his loan? (round to the nearest cent)

Expert Solution

House value	165,000.00
Down payment	33,000.00
Loan period	30.00	Years
APR	4%
Loan amount	132,000.00
Annual amount to bbe paid	7,633.57

Period	Principle balance	Amount paid	Interest	Principle paid
1	132,000.00	7,633.57	5280	2,353.57
2	129,646.43	7,633.57	5185.857077	2,447.72
3	127,198.71	7,633.57	5087.948436	2,545.62
4	124,653.09	7,633.57	4986.12345	2,647.45
5	122,005.64	7,633.57	4880.225465	2,753.35
6	119,252.29	7,633.57	4770.09156	2,863.48
7	116,388.81	7,633.57	4655.552299	2,978.02
8	113,410.79	7,633.57	4536.431467	3,097.14
9	110,313.65	7,633.57	4412.545803	3,221.03
10	107,092.62	7,633.57	4283.704711	3,349.87
11	103,742.75	7,633.57	4149.709976	3,483.86
12	100,258.89	7,633.57	4010.355452	3,623.22
13	96,635.67	7,633.57	3865.426747	3,768.15
14	92,867.52	7,633.57	3714.700893	3,918.87
15	88,948.65	7,633.57	3557.946006	4,075.63
16	84,873.02	7,633.57	3394.920922	4,238.65
17	80,634.37	7,633.57	3225.374836	4,408.20
18	76,226.17	7,633.57	3049.046906	4,584.53
19	71,641.65	7,633.57	2865.665859	4,767.91
20	66,873.74	7,633.57	2674.94957	4,958.62
21	61,915.12	7,633.57	2476.604629	5,156.97
22	56,758.15	7,633.57	2270.325891	5,363.25
23	51,394.90	7,633.57	2055.796003	5,577.78
24	45,817.12	7,633.57	1832.684919	5,800.89
25	40,016.23	7,633.57	1600.649393	6,032.92
26	33,983.31	7,633.57	1359.332445	6,274.24
27	27,709.07	7,633.57	1108.36282	6,525.21
28	21,183.86	7,633.57	847.3544089	6,786.22
29	14,397.64	7,633.57	575.9056618	7,057.67
30	7,339.97	7,633.57	293.5989648	7,339.97
31	0.00	7,633.57	-1.49157E-12	7,633.57

Total interest paid	97,007.19

jeff jeffy answered 2 years ago

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