Question

Adjustable rate mortgage offer: purchase price: $170,000 term: 30 years interest rate: 3.5% months before first adjustment: 12 months between rate adjustments: 12 maximum rate: 8.0% use this example from an adjustable-rate mortgage calculator to help you answer the questions. according to the calculator, the initial monthly payment demarco and tanya should anticipate paying on principal and interest is . this amount is than the fixed-rate mortgage payment for principal and interest. the total amount they should anticipate paying monthly is .

Answer 1

Adjustable rate mortgage offer:

Purchase Price: $170,000

Term: 30 years

Interest rate: 3.5%

Months before first adjustment: 12

Months between rate adjustments: 12

Maximum rate: 8.0%

Use this example from an adjustable-rate mortgage calculator to help you answer the questions.

According to the calculator, the initial monthly payment Demarco and Tanya should anticipate paying on principal and interest is

✔ $611

.

This amount is

✔ lower

than the fixed-rate mortgage payment for principal and interest.

The total amount they should anticipate paying monthly is

✔ $819

.

Step-by-step explanation:

Answer 2

$611, lower, and $819. i had to learn the hard way.