Question

Noah has just purchased a previously owned home. He put $5,000 towards a down payment and took out a $65,000 mortgage. Noah knows that his older home will need maintenance right away and wants to budget enough for this coming year for unexpected expenses. When estimating costs for home repair and maintenance, a good estimate is to budget 1% of the purchase price of a house. What would be a good yearly estimate of repairs and maintenance for Noah’s home?

Answer 1

700$

Step-by-step explanation:

Answer 2

$ 700

Step-by-step explanation:

Repairs and maintenance cost is 1 % of purchase price

Purchase prices = Down payment + mortgage fee

=$ 5000 +$ 65,000

=$ 70000

repairs and maintenance = 1/100 x $ 70,000

=0.01x $ 70,000

=$ 700