Chapter 17, Problem 3SCQ

Calculate the equity each of these people has in his or her home:

1. Fred just bought a house for $\$\text{2}00,000$ by putting $\text{1}0\%$ as a down payment and borrowing the rest from the bank.
2. Freda bought a house for $\$\text{15}0,000$ in cash, but if she were to sell it now, it would sell for $\$\text{25}0,000$.
3. Frank bought a house for $\$\text{1}00,000$.

He put $\text{2}0\%$ down and borrowed the rest from the bank. However, the value of the house has now increased to $\$\text{16}0,000$ and he has paid off $\$\text{2}0,000$ of the bank loan.