The total mortgage for a $240,000 purchase with a 5% down payment after accounting for closing costs is $232,920. This includes the down payment and all closing costs such as the loan origination fee, credit report, attorney and notary, documentation stamp, and processing fee.
To calculate the total mortgage for a $240,000 purchase with a 5% down payment and closing costs, we need to determine the amount of the down payment, the loan amount, and add the closing costs.
First, calculate the down payment:
5% of $240,000 = 0.05 × 240,000 = $12,000.
Next, subtract the down payment from the purchase price to get the loan amount:
$240,000 - $12,000 = $228,000.
Now, calculate the closing costs:
Credit report: $400.00
Loan origination fee: 1% of 228,000 = $2,280.00
Attorney and notary: $500.00
Documentation stamp: 0.50% of 228,000 = $1,140.00
Processing fee: $600.00
Add all closing costs:
$400 + $2,280 + $500 + $1,140 + $600 = $4,920.
Finally, add closing costs to the loan amount to get the total mortgage:
$228,000 + $4,920 = $232,920.
Therefore, the total mortgage is $232,920.