You buy a house at $255000. You pay $25000 down and you take out a mortgage...

You buy a house at $255000. You pay $25000 down and you take out a mortgage at 4.45% compounded monthly on the balance for 30 years. 1. find monthly payment. 2.find total amount of interest you will pay for 30 years 3. created authorization table with payment number, monthly payment, interest per month, portion to principal, principal at the end of the year.

Solutions

Expert Solution

Beginning balance = house price-down = 255000-25000=230000

Where

Interest paid = Beginning balance * Monthly interest rate

Principal = Monthly payment – interest paid

Ending balance = beginning balance – principal paid

Beginning balance = previous Month ending balance

total payment=Monthly payment*number of Month

=1158.5531*360

=417079.116

Total interest paid= total payment-period 1 beginning balance

=417079.116-230000

=187079.116

jeff jeffy answered 1 year ago

Next > < Previous

Related Solutions

You take out a mortgage to buy a house worth $300,000. If the down payment is...

You take out a mortgage to buy a house worth $300,000. If the down payment is 30%, the annual interest rate is 6% compounded monthly, and the term of the mortgage is 30 years, what are your monthly mortgage payments? a) $1,079 b) $1,259 c) $1,439 d) $1,505 e) $1,719

You take out a 30-year mortgage to buy a house worth $449,000. The down payment is...

You take out a 30-year mortgage to buy a house worth $449,000. The down payment is 7% and the annual interest rate is 4.9%. What are the monthly payments? Round to the nearest cent.

You take out a 30-year mortgage to buy a house worth $312,000. The down payment is...

You take out a 30-year mortgage to buy a house worth $312,000. The down payment is 21% and the annual interest rate is 4.4%. What are the monthly payments? Round to the nearest cent.

You take out a 30-year mortgage to buy a house worth $396,000. The down payment is...

You take out a 30-year mortgage to buy a house worth $396,000. The down payment is 19% and the annual interest rate is 4.9%. What are the monthly payments? Round to the nearest cent.

You take out a 25-year mortgage for $300,000 to buy a new house. What will your...

You take out a 25-year mortgage for $300,000 to buy a new house. What will your monthly payments be if the interest rate on your mortgage is 8 percent? Now, calculate the portion of the 48th monthly payment that goes toward interest and principal. Complete the steps below using cell references to given data or previous calculations. In some cases, a simple cell reference is all you need. To copy/paste a formula across a row or down a column, an...

To buy a $160,000house, you take out a 6% (APR compounded monthly) mortgage for $130,000. Five...

To buy a $160,000house, you take out a 6% (APR compounded monthly) mortgage for $130,000. Five years later, you sell the house for $195,000 (after all other selling expenses). What equity (the amount that you can keep before tax) would you realize with a 30-year repayment term? Note: For tax purpose, do not consider the time value of money on $30,000 down payment made five years ago. The realized equity will be $____ thousand?

You want to buy a $249,000 home. You plan to pay 15% as a down payment, and take out a 30 year loan

You want to buy a $249,000 home. You plan to pay 15% as a down payment, and take out a 30 year loan for the rest.a) How much is the loan amount going to be? $b) What will your monthly payments be if the interest rate is 5%? $c) What will your monthly payments be if the interest rate is 6%?

2) You want to buy a house for $400,000 with 10% down payment. You take two...

2) You want to buy a house for $400,000 with 10% down payment. You take two mortgages to over the $360,000 needed to buy the house. They are: • Loan 1: Loan amount $160,000, fully amortizing 30-year fixed rate mortgage for 4.2%. This loan has 2 points and 1% pre-payment penalty. • Loan 2: Loan amount $200,000, fully amortizing 15-year, 5-year ARM with reset every five years. Initial interest rate is 3.6%. Margin set at 2% over prime rate. Expected...

You want to buy a house for $400,000 with 10% down payment. You take two mortgages to...

You want to buy a house for $400,000 with 10% down payment. You take two mortgages to over the $360,000 needed to buy the house. They are: Loan 1: Loan amount $160,000, fully amortizing 30-year fixed rate mortgage for 4.2%. This loan has 2 points and 1% pre-payment penalty. Loan 2: Loan amount $200,000, fully amortizing 15-year, 5-year ARM with reset every five years. Initial interest rate is 3.6%. Margin set at 2% over prime rate. Expected prime rates: 4% at end of...

(Components of an annuity payment) You take out a 25-year mortgage for 300,000 to buy a...

(Components of an annuity payment) You take out a 25-year mortgage for 300,000 to buy a new house. What will your monthly payments be if the interest rate on your mortgage is 88 percent? Use a spreadsheet to calculate your answer. Now, calculate the portion of the 48th monthly payment that goes toward interest and principal. Use five decimal places for the monthly interest rate in your calculations. a. Using a spreadsheet to calculate your answer, your monthly payments will...

Subjects