Person A has a take home pay of 3980 and wishes to spend only 1/4 of this pay on a monthly house payment. They have 18000 saved for down pmt and can get an APR of 5.35% from the bank, compounded monthly. Whats the total cost of a house Person A can afford w/a 15-yr mortgage? Round to nearest cent

Q: A couple requires a mortgage loan of $182,000. They figure they can afford $1400 a month. If they…

A: A mortgage refers to a covered loan that is taken out for the purchase of a property which itself…

Q: Jason is buying a home with a $150,000 mortgage using a 6 percent, 15-year loan. How much of the…

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Q: Let’s assume that you plan to purchase a house which is selling for $350,000 today. You will make a…

A: Formulas that are used:-

Q: Todd Foley is applying for a $290,000 mortgage. He can get a $2,030 monthly payment for principal…

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Q: Ann Is buying a new home for $365,000.  She is choosing between 2 loan options. Loan A is a 15-year…

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Q: The Garcia family has decided to pay the price of $375,000 for a new home. Their bank offers a 5.4%…

A: a) Down Payment = cost of house * 15%

Q: After making payments of $901.10 for 8 years on your 30 year loan at 8.3%, you decide to sell your…

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Loans

A loan is a term that we are all familiar with. The processing of loans is one of the most important functions of a bank. It keeps our economy stable and facilitates the implementation of monetary policies. Let's take a look at the different forms of loans and get some answers to some common questions.