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Roberto bought a $280,000 house, paying 16% down, and financing the rest at 7% interest for 30 years. her monthly payments are $1564.79. how much will he really pay for her $280,000 house

a. $327,197.40
b. $236,140.80
c. $260,722.40
d. $280,000.00

1 Answer

3 votes

Final answer:

Roberto's total cost for the house includes his down payment of $44,800 and the total of his monthly payments over 30 years, which amounts to $563,324.40. The combined total amount he will really pay for the $280,000 house is $608,124.40, which is not among the provided options.

Step-by-step explanation:

To calculate how much Roberto will really pay for the house, we need to consider his initial down payment and the total of the monthly payments over the course of the loan. Roberto is buying a $280,000 house with a 16% down payment.

To find the down payment:

  • Down Payment = 16% of $280,000
  • Down Payment = 0.16 × $280,000
  • Down Payment = $44,800

Next, we subtract the down payment from the total price to find the amount financed:

  • Amount Financed = $280,000 - $44,800
  • Amount Financed = $235,200

The monthly payments are $1564.79 over 30 years (which is 360 months):

  • Total Payments = Monthly Payment × Number of Months
  • Total Payments = $1564.79 × 360
  • Total Payments = $563,324.40

Finally, add the down payment back to get the total amount paid for the house:

  • Total Amount Paid = Down Payment + Total Payments
  • Total Amount Paid = $44,800 + $563,324.40
  • Total Amount Paid = $608,124.40

Therefore, the answer is not listed among the provided options a, b, c, or d.

User Rahul Bohare
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