Question

If the purchase price for a house is $445,500, what is the monthly payment if you put 5% down for a 30 year loan with a fixed rate of 6.25%?

Answer 1

The monthly payment is $2603.17

Explanation:

The purchase price is = $445500

5% is down payment =
`0.05*445500=22275`

Loan amount is =
`445500-22275=423225`

The EMI formula is =
`(p*r*(1+r)^(n) )/((1+r)^(n)-1 )`

p = 423225

r = 6.25/12/100=0.0052

n = 30*12 = 360

Putting the values in the formula we get:

`(423225*0.0052*(1.0052)^(360) )/((1.0052)^(360)-1 )`

= $2603.17

The monthly payment is $2603.17 approx

Answer 2

For the answer to the question, what is the monthly payment if you put 5% down for a 30-year loan with a fixed rate of 6.25%? , the monthly payments on this mortgage would be $2605.87

I hope my answer helped you. Have a nice day!