Question

You buy a house for $300,000. The mortgage company offers a 30 year loan with an...

You buy a house for $300,000. The mortgage company offers a 30 year loan with an annual interest rate of 10% (but the loan requires monthly payments and the interest will compound monthly). Your monthly house payment is? Show equation please

Business   Finance   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

EXPLAINED WITH EQUATION, NO EXCEL FUNCTION IS USED. JUST WRITTEN IN EXCEL.

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
You borrow ​$300,000 to buy a house over a 15​-year term. The loan is structured as...
You borrow ​$300,000 to buy a house over a 15​-year term. The loan is structured as an amortized loan with annual payments and an interest rate of 10​%. Find the information for the amortization schedule for years 1 and 2. Payment​ ($) Interest in Payment​ ($) Principal Repaid​ ($) Principal Owing at End of Year​ ($)
You are planning to buy a $200,000 house using a 30-year mortgage that requires equal monthly...
You are planning to buy a $200,000 house using a 30-year mortgage that requires equal monthly payments starting one month from today. Annual interest rate is 6.6%, compounded monthly. Calculate your monthly payments. How much have you paid off the mortgage after 10 years? Suppose you are planning to refinance this mortgage after 10 years at an annual interest of 4.8%, compounded monthly, for the remainder of the term. However, you are going to be charged a 10% prepayment fee....
You decide to buy a house for a total of $242,973. To get a mortgage loan,...
You decide to buy a house for a total of $242,973. To get a mortgage loan, you make a 10% down payment, and the bank will lend you the rest. The interest rate quoted for this loan is 6% APR, and the loan will be paid (and interest compounded) every month, for the next 30 years. How much will you pay in INTEREST on your very first monthly mortgage payment? Enter your answer in dollars, rounded to the nearest cent.
Suppose you have decided to buy a house. The mortgage is a 30-year mortgage with an...
Suppose you have decided to buy a house. The mortgage is a 30-year mortgage with an interest rate of 7%, compounded monthly. You borrow a total of $250,000. Given this, by the time you pay off the loan, how much in total (interest + principal) would the house cost you?
You are discussing a mortgage with a lender. He offers you $500,000 for 30 years with...
You are discussing a mortgage with a lender. He offers you $500,000 for 30 years with a 5% annual interest rate. What is the monthly payment for this loan? What is the loan balance at the end of year 10? show work
You plan to purchase a $300,000 house using either a 30-year mortgage obtained from your local...
You plan to purchase a $300,000 house using either a 30-year mortgage obtained from your local savings bank with a rate of 7.80 percent, or a 20-year mortgage with a rate of 7.20 percent. You will make a down payment of 15 percent of the purchase price. a. Calculate the amount of interest and, separately, principal paid on each mortgage. What is the difference in interest paid? b. Calculate your monthly payments on the two mortgages. What is the difference...
You borrow $185,000 to buy a house. The mortgage interest rate is 7.5 percent and the...
You borrow $185,000 to buy a house. The mortgage interest rate is 7.5 percent and the loan period is 30 years. Payments are made monthly. What is your monthly mortgage payment? $1,293.55 $953.70 $1,083.78 $1,153.70 $1,398.43
Suppose you take out a 30-year mortgage for a house that costs $496,845. Assume the following:...
Suppose you take out a 30-year mortgage for a house that costs $496,845. Assume the following: The annual interest rate on the mortgage is 3.9%. The bank requires a minimum down payment of 16% at the time of the loan. The annual property tax is 2.1% of the cost of the house. The annual homeowner's insurance is 0.6% of the cost of the house. There is no PMI If you make the minimum down payment, what will your monthly PITI...
Derek borrows $264,972.00 to buy a house. He has a 30-year mortgage with a rate of...
Derek borrows $264,972.00 to buy a house. He has a 30-year mortgage with a rate of 4.45%. After making 139.00 payments, how much does he owe on the mortgage? A bank offers 8.00% on savings accounts. What is the effective annual rate if interest is compounded continuously? Please explain
David and Debi Davidson have just signed a 30-year, 4% fixed-rate mortgage for $360,000 to buy...
David and Debi Davidson have just signed a 30-year, 4% fixed-rate mortgage for $360,000 to buy their house.  Find out this couple's monthly mortgage payment by preparing a loan amortization schedule for the Davidson’s for the first 2 months; find out how much of their payments applied to interest; and after 2 payments, how much of their principal will be reduced. (Please construct a loan amortization schedule and show your calculations).
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT