The McBertys have $40,000 in savings to use as a down payment on
a new home. They also have determined that they can afford between
$1,600 and $1,900 per month for mortgage payments. If the mortgage
rates are 11% per year compounded monthly, what is the price range
for houses they should consider for a 30-year loan? (Enter
solutions from smallest to largest. Round your answers to the
nearest cent.)
$ to $
The McBertys have $40,000 in savings to use as a down payment on a new home....
You want to buy a house that costs $210,000. You have $21,000 for a down payment, but your credit is such that mortgage companies will not lend you the required $189,000. However, the realtor persuades the seller to take a $189,000 mortgage (called a seller take-back mortgage) at a rate of 8%, provided the loan is paid off in full in 3 years. You expect to inherit $210,000 in 3 years, but right now all you have is $21,000, and...
Suppose you purchase your first home by making a $10,000 down payment on a debt of $150,000. The bank charges an APR of 4.8% compounded monthly for a 30 year mortgage. Your monthly payment on the remaining $140,000 is $787.00. (Do not enter $ sign and round answers to the nearest cent: Examples: 650.35, 12000.00) a) You elect to payoff the entire loan after you pay 240 payments (120 payments remain). How much must you pay to payoff the loan...
eBook 1. You have saved $5,000 for a down payment on a new car. The largest monthly payment you can afford is $400. The loan will have an 11% APR based on end-of-month payments. What is the most expensive car you can afford if you finance it for 48 months? Do not round intermediate calculations. Round your answer to the nearest cent. $ What is the most expensive car you can afford if you finance it for 60 months? Do...
You are buying a home and have saved $45,000 for a down payment. The house costs $360,000. You are given a choice by the mortgage banker. You can use your entire $45,000 for the down payment, and borrow $315,000 at a 4.2% annual rate with monthly payments of about $1540 per month for 30 years (360 monthly payments). Or you can buy down the interest rate by paying an upfront fee to the lender of $8,000. This will reduce the...
eBook 1. You have saved $5,000 for a down payment on a new car. The largest monthly payment you can afford is $400. The loan will have an 11% APR based on end-of-month payments. What is the most expensive car you can afford if you finance it for 48 months? Do not round intermediate calculations. Round your answer to the nearest cent. $ What is the most expensive car you can afford if you finance it for 60 months? Do...
1. Gary and Ann have just purchased a new home. They paid $40,000 as a down payment and obtained a $200,000 mortgage to pay for the rest. The 30-year mortgage has an interest rate of 0.5% per month. How much will they pay each month in principal and interest? Your answer must be correct to the nearest penny. 2. Jerry and Katrina took out a 30-year, $360,000 mortgage on their 2800-square-foot house. The mortgage rate is 0.4% per month so...
Suppose you want to purchase a $287,000 home, and you have the required $64,000 down payment in savings. Complete the table presented by a mortgage broker. Principal $223,000 Interest Rate 3.625% Terms (years) 20 Payment Total of Payments over Life of Loan Total Interest Paid over Life of Loan Complete the table below. (years) | Payment Total of Payments over Life of Loan Principal Interest | Terms Rate $223,000 3.625% 20 (Round to the nearest cent as needed.) Total Interest...
The Johnsons have accumulated a nest egg of $29,000 that they intend to use as a down payment toward the purchase of a new house. Because their present gross income has placed them in a relatively high tax bracket, they have decided to invest a minimum of $1000/month in monthly payments (to take advantage of the tax deduction) toward the purchase of their house. However, because of other financial obligations, their monthly payments should not exceed $1300. If local mortgage...
You have saved $5,000 for a down payment on a new car. The largest monthly payment you can afford is $500. The loan will have a 8% APR based on end-of-month payments. What is the most expensive car you can afford if you finance it for 48 months? A. $40,522.08 B. $50,647.21 C. $15,250.09 D. $30,476.12 E. $25,480.96
1. You want to buy a $249,000 home. You plan to pay 5% 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 6%? $ c) What will your monthly payments be if the interest rate is 7%? $ 2. You can afford a $1150 per month mortgage payment. You've found a 30...