Question

You need a 25-year, fixed-rate mortgage to buy a new home for $240,000. Your mortgage bank will lend you the money at a 6.1 percent APR for this 300-month loan. However, you can afford monthly payments of only $800, so you offer to pay off any remaining loan balance at the end of the loan in the form of a single balloon payment.

Required: How large will this balloon payment have to be for you to keep your monthly payments at $800?

Answer #1

**SEE THE IMAGE. ANY DOUBTS,
FEEL FREE TO ASK. THUMBS UP PLEASE**

**NEED HELP WITH FINANCIAL CALCULATOR, LET ME
KNOW**

**AS NOTHING WAS MENTIONED, SOLVED WITH
EXCEL.**

You need a 25-year, fixed-rate mortgage to buy a new home for
$190,000. Your mortgage bank will lend you the money at a 9.1
percent APR for this 300-month loan. However, you can afford
monthly payments of only $800, so you offer to pay off any
remaining loan balance at the end of the loan in the form of a
single balloon payment.
How large will this balloon payment have to be for you to keep
your monthly payments at...

You need a 20-year, fixed-rate mortgage to buy a new home for
$220,000. Your mortgage bank will lend you the money at a 6.6
percent APR for this 240-month loan. However, you can afford
monthly payments of only $950, so you offer to pay off any
remaining loan balance at the end of the loan in the form of a
single balloon payment.
How large will this balloon payment have to be for you to keep
your monthly payments at...

You need a 30-year,
fixed-rate mortgage to buy a new home for $230,000. Your mortgage
bank will lend you the money at a 7.6 percent APR for this
360-month loan. However, you can afford monthly payments of only
$800, so you offer to pay off any remaining loan balance at the end
of the loan in the form of a single balloon payment.
How large will this
balloon payment have to be for you to keep your monthly payments at...

You need a 30-year, fixed-rate mortgage to buy a new home for
$240,000. Your mortgage bank will lend you the money at a 9.1
percent APR for this 360-month loan. However, you can afford
monthly payments of only $950, so you offer to pay off any
remaining loan balance at the end of the loan in the form of a
single balloon payment.
Required:
How large will this balloon payment have to be for you to keep
your monthly payments...

You need a 15-year, fixed-rate mortgage to buy a new home for
$220,000. Your mortgage bank will lend you the money at a 7.6
percent APR for this 180-month loan. However, you can afford
monthly payments of only $950, so you offer to pay off any
remaining loan balance at the end of the loan in the form of a
single balloon payment.
How large will this balloon payment have to be for you to keep
your monthly payments at...

You need a 20-year, fixed-rate mortgage to buy a new home for
$230,000. Your mortgage bank will lend you the money at a 8.1
percent APR for this 240-month loan. However, you can afford
monthly payments of only $850, so you offer to pay off any
remaining loan balance at the end of the loan in the form of a
single balloon payment.
Required:
How large will this balloon payment have to be for you to keep
your monthly payments...

You need a 20-year, fixed-rate mortgage to buy a new home for
$180,000. Your mortgage bank will lend you the money at a 6.6
percent APR for this 240-month loan. However, you can afford
monthly payments of only $950, so you offer to pay off any
remaining loan balance at the end of the loan in the form of a
single balloon payment. Required: How large will this balloon
payment have to be for you to keep your monthly payments...

You need a 20-year, fixed-rate mortgage to buy a new home for
$190,000. Your mortgage bank will lend you the money at a 8.6
percent APR for this 240-month loan. However, you can afford
monthly payments of only $950, so you offer to pay off any
remaining loan balance at the end of the loan in the form of a
single balloon payment.
How large will this balloon payment have to be for you to keep
your monthly payments at...

You need a 30-year, fixed-rate mortgage to buy a new home for
$265,000. Your mortgage bank will lend you the money at an APR of
5.6 percent for this 360-month loan. However, you can only afford
monthly payments of $1,050, so you offer to pay off any remaining
loan balance at the end of the loan in the form of a single balloon
payment.
How large will this balloon payment have to be for you to keep
your monthly...

You need a 30-year, ﬁxed-rate mortgage to buy a new home for
$450,000. Your mortgage bank will lend you the money at a 6 percent
APR for this loan. However, you can afford monthly payments of only
$2,000, so you offer to pay off any remaining loan balance at the
end of the loan in the form of a single lump sum payment. How large
is this lump sum payment?

ADVERTISEMENT

Get Answers For Free

Most questions answered within 1 hours.

ADVERTISEMENT

asked 45 seconds ago

asked 9 minutes ago

asked 11 minutes ago

asked 16 minutes ago

asked 33 minutes ago

asked 52 minutes ago

asked 52 minutes ago

asked 55 minutes ago

asked 55 minutes ago

asked 56 minutes ago

asked 1 hour ago

asked 1 hour ago