Question

Steve is buying a home worth $275,000. His closing costs will amount to 6 percent, and his down payment is 15 percent. How much is each fee?

Answer 1

Multiply 6% and 15% separately by $275,000.00.

To do this you must convert percentages to decimals. 6% converts to .06 and 15% converts to .15. You move the decimal point to the left two places as I have just done.

Closing cost: 275,000 x .06 = 16,500.00
Down Payment: 275,000 x .15 = 41,250.00

Answer 2

closing cost will be 275, 000 * 6 / 100 = 2, 750 * 6 = $16, 500
down payment will be 275, 000 * 15 / 100 = 2, 750 * 15 = $41, 250