Question

You are purchasing a house that is listed for 490000 and put 20% down the bank you are working with is offering 7.25% apr over 30 years how much will your loan payment be each month?

Answer 1

The monthly loan payment for a house loan of $490,000 with a 20% down payment and a 7.25% APR over 30 years will be approximately $2,604.27.

Step-by-step explanation:

To calculate the monthly loan payment for a house loan, we can use the formula:

Monthly Payment = Principal * (Interest Rate / (1 - (1 + Interest Rate)^(-Number of Payments)))

In this case:

Principal = $490,000 - 20% down payment = $392,000

Interest Rate = 7.25% APR / 12 months = 0.6042% monthly interest rate

Number of Payments = 30 years * 12 months = 360

Plugging these values into the formula, we get:

Monthly Payment = $392,000 * (0.6042% / (1 - (1 + 0.6042%)^(-360)))

Simplifying the calculation, the monthly loan payment will be approximately $2,604.27.