Ben and Carla Covington plan to buy a condominium. They will obtain a $225,000, 20-year mortgage at 7.5 percent. Their annual property taxes are expected to be $950. Property insurance is $670 a year, and the condo association fee is $210 a month. Based on these items, determine the total monthly housing payment for the Covingtons.
mortgage payment factors (principal and interest factor per $1000 of loan amount)
20 years 7.5% = 8.06
monthly payments
| working | ||||
| monthly mortgage payment | 1813.5$ | [225*8.06] | ||
| monthly property taxes | 79.17$ | [950/12months] | ||
| monthly property insurance | 55.83$ | [670/12months] | ||
| condo association fee | 210$ | |||
| total monthly housing payment for the Covingtons | 2158.5$ | [1813.5+79.17+55.83+210] | ||
.factor table
| rate (%) | 30 years | 25 | 20 years | 15 |
| 3 | 4.22 | 4.74 | 5.55 | 6.91 |
| 3.5 | 4.49 | 5.01 | 5.80 | 7.15 |
| 4 | 4.77 | 5.28 | 6.06 | 7.40 |
| 4.5 | 5.07 | 5.56 | 6.33 | 7.65 |
| 5 | 5.37 | 5.85 | 6.60 | 7.91 |
| 5.5 | 5.68 | 6.14 | 6.88 | 8.17 |
| 6 | 6 | 6.44 | 7.16 | 8.43 |
| 6.5 | 6.32 | 6,.67 | 7.45 | 8.71 |
| 7 | 6.65 | 7.06 | 7.75 | 8.98 |
| 7.5 | 6.99 | 7.39 | 8.06 | 9.27 |
| 8 | 7.34 | 7.72 | 8.36 | 9.56 |
Get Answers For Free
Most questions answered within 1 hours.