131k views
5 votes
Closing Costs

Credit report
Loan origination fee
Attorney and notary
Documentation
stamp
Processing fee
$300.00
1%
$500.00
0.50%
$500.00
What is the total
mortgage for a
$200,000 purchase,
a 15% down
payment, and the
closing costs
shown in the table?

A. $196,150
C. $170,000
B. $173,200
D. $173,850

User Zvonimir
by
8.3k points

2 Answers

7 votes

Answer: $174,300.00

Explanation:

To calculate the total mortgage for a $200,000 purchase with a 15% down payment and the closing costs shown in the table, we need to follow these steps:

1. Calculate the down payment:

The down payment is 15% of the purchase price, so 15% of $200,000 is $30,000.

2. Calculate the loan amount:

The loan amount is the purchase price minus the down payment. Therefore, $200,000 - $30,000 = $170,000.

3. Calculate the closing costs:

To calculate the closing costs, we add up all the amounts shown in the table:

$300.00 + 1% of $200,000 + $500.00 + 0.50% of $200,000 + $500.00 = $300.00 + $2,000.00 + $500.00 + $1,000.00 + $500.00 = $4,300.00.

4. Calculate the total mortgage:

The total mortgage is the loan amount plus the closing costs. Therefore, $170,000 + $4,300.00 = $174,300.00.

Therefore, the total mortgage for a $200,000 purchase with a 15% down payment and the closing costs shown in the table is $174,300.00.

Remember, when calculating the total mortgage, we need to consider the down payment, the loan amount (purchase price minus down payment), and the closing costs. The closing costs are obtained by adding up all the costs shown in the table. In this case, the total mortgage is $174,300.00.

User Kise
by
8.1k points
5 votes

Answer:

real

Explanation:

User Bragolgirith
by
7.7k points