The Fritzes are buying a house that sells for $173,000. The bank is requiring a minimum down payment of 10%. To obtain a 30-year mortgage at 11.5% interest, they must pay 2 points at the time of closing a) Determine the required down payment. b) Determine the amount of the mortgage on the property with the 10% down payment. c) Find the cost of 2 points on the mortgage a) The required down payment is $ b) The mortgage on the property is $ c) The cost of the 2 points on the mortgage is 5 (Round to the nearest dollar as needed.) (IT)
The Fritzes are buying a house that sells for $173,000. The bank is requiring a minimum down payment of 10%. To obtain a 30-year mortgage at 11.5% interest, they must pay 2 points at the time of closing a) Determine the required down payment. b) Determine the amount of the mortgage on the property with the 10% down payment. c) Find the cost of 2 points on the mortgage a) The required down payment is $ b) The mortgage on the property is $ c) The cost of the 2 points on the mortgage is 5 (Round to the nearest dollar as needed.) (IT)
Chapter5: The Time Value Of Money
Section: Chapter Questions
Problem 15P
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