You want to buy a $140,000 home. You plan to pay 5% as a down payment, and take out a 30 year loan at 3.75% interest for the rest.
a) How much is the loan amount going to be?
$
b) What will your monthly payments be?
$
c) How much total interest do you pay?
$
d) Suppose you want to pay off the loan in 15 years rather than 30. What will your monthly payment be?
$
e) How much money in interest will you save if you finance for 15 years instead of 30 years?
$
a) How much is the loan amount going to be?
$
b) What will your monthly payments be?
$
c) How much total interest do you pay?
$
d) Suppose you want to pay off the loan in 15 years rather than 30. What will your monthly payment be?
$
e) How much money in interest will you save if you finance for 15 years instead of 30 years?
$
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