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a family wants to purchase a house that costs $145,000. they plan to take out a $125,000 mortgage on the house and put $20,000 as a down payment. the bank informs them that with a 15-year mortgage their monthly payment would be $733.04 and with a 30-year mortgage their monthly payment would be $540.18. determine the amount they would save on the cost of the house if they selected the 15-year mortgage rather than the 30-year mortgage.

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we have that the 15 year mortagage comes with a monthly paiment of $733.04. Then, the total after the 15 years is:


\text{total}=(733.04)(12)(15)=131,947.20

then, for the 30 year mortgage, the monthly fee is $540.18, then the total is:


\text{total}=(540.18)(12)(30)=194,464.80

finally, we calculate the difference between both totals to get:


194464.80-131947.20=62,517.6

therefore, they would save $62,517.60 if they select the 15 year mortgage

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