Wally Bee purchased a new home for $500,000 with a $80,000 down payment. He financed the remainder with a 3% mortgage for 30 years. If Wally had originally planned on using a 15 year mortgage (also at 3%), how much would Wally save in interest expense compared to the 30 year mortgage? O $134,658 O $129,353 O $115,365 O $125,464
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- Joe Levi bought a home in Arlington, Texas, for $160,000. He put down 30% and obtained a mortgage for 30 years at 6 1/8 %. What is the difference in interest cost if he had obtained a mortgage rate of 5 1/2 %? (Use Table 15.1.) TABLE 15.1 Amortization table (mortgage principal and interest per $1,000) Rate Interest Only 10 Year 15 Year 20 Year 25 Year 30 Year 40 Year 5.5 0.45833 10.85263 8.17083 6.87887 6.14087 5.67789 5.1577 5.625 0.46875 10.91467 8.23732 6.94966 6.21575 5.75656 5.24302 5.75 0.47917 10.97692 8.3041 7.02084 6.29106 5.83573 5.32888 5.875 0.48958 11.03938 8.37118 7.09238 6.36682 5.91538 5.41525 6 0.5 11.10205 8.43857 7.16431 6.44301 5.99551 5.502149. Jason bought a home in Arlington, Texas, for $127,000. He put down 25% and obtained a mortgage for 30 years at 6%. a. What is Jason’s monthly payment? (Do not round intermediate calculations. Round your answer to the nearest cent.) Monthly payment $ b. What is the total interest cost of the loan? (Use the amortization worksheet on the financial calculator.) Total interest cost $Tom borrowed $80,000 at a rate of 6.5% from bank for his new house. This is a 30 year monthly paid fully amortized mortgage. By how much would he reduce the amount he owes in the first year? Group of answer choices 678 0 894 1120
- Willie just bought a home and financed his purchase with a $1,000,000 6% 20- year mortgage. (a) What is Willie's monthly mortgage payment? (b) What will be the balance on Willie's mortgage after 12 years? 1. How did you get the monthly mortgage payment of $7,164.31? 2. How did you get the balance of $545,169.90 after 12 years?wally bee purchased a home for $600,000 with a $150,000 down oayment. he financed the remainder with a 6% mortgage for 30 years. wallys bank has offered to lower the 6% interest rate on his 30 year loan to 5.50%. if wally will pay 1 7/8 points. what will the points cost wally?Gary purchased a house and obtained a 30 - year loan of $250,000 at an annual interest rate of 6.75% A. What is the mortgage payment? B. After making payments for 12 years, Gary decides to sell his home. What is the loan payoff? A=PMT(1-(1+r/n)^-U / r/n)
- If George wants to purchase a new home for $400,000 and finance $320,000 with a 4%, 30 year mortgage with a monthly payment of 12,697.43. How much interest would be paid in the first 12th payment? A.) 1,049.47 B.)1,504.45 C.) 1,240.67 D.) 1,120.67Jen Logan bought a home in Iowa for $110,000. She put down 20% and obtained a mortgage for 30 years at 5 1/2 %. What are Jen’s monthly payment and total interest cost of the loan? PROVIDE THE FOLLOWING FOR EACH PROBLEM N= I= PV= PMT= FV= C/Y= P/Y =Mike Jones bought a new split-level home for$150,000 with 20% down. He decided to use Victory Bank for his mortgage. They were offering 13 3/4% for 25-year mortgages (11.85%). Provide Mike with an amortization schedule for two periods. 1. Portion to-- interest: ?? principle:??, Balance of loan outstanding: ?? 2. Portion to-- interest: ?? principle:??, Balance of loan outstanding: ??
- A couple wishes to borrow money using the equity in their home for collateral A loan company will loan them up to 70% of their equity. They puchased their home 11 years ago for $66.462. The home was financed by paying 15% down and signing a 30-year mortgage at 8.1% on the unpaid balance Equal monthly payments were made to amortize the loan over the 30-year period. The net market value of the house is now $100,000 After making their 132nd payment, they applied to the loan company for the maximum loan How much (to the nearest dollar) will they receive? Amount of loan $(Round to the nearest dollar)Joe Levi bought a home in Arlington Texas for $150,000. He put down 20% and obtained a mortgage for 15 years at 5 1/2% interest. 1) What is Joe's monthly payment? 2) What is the TOTAL cost of interest for this loan? 3) If the interest rate increases to 6 1/2%, what is the difference in the TOTAL interest costs over the life of this loan?Noor is buying a home with a $200,000 mortgage using a 5.5 percent, 30-year loan. How much of the first month's payment will go toward the principal if the payment per $1000 on this loan is $5.6779? O a. $917 O b. $219 O c. $0 O d. $538