Question

The mortgage amount of a new home 170,000. The bank required a 8.6% down payment.

What was the original price before the down payment was made?

Answer 1

Answer: 15,507.44.

Step-by-step explanation: To find the original price of the home before the down payment was made, you need to use the following formula:

Original price = Mortgage amount / (1 - Down payment percentage)

Plugging in the values given in the question, you get:

Original price = $170,000 / (1 - 8.6%)

The original price of the home before the down payment was made is $<<170000/(1-.086)=185507.44>>185,507.44.

This means that the down payment amount was $185,507.44 - $170,000 = 185507.44-170000=15,507.44.