Question

Jade and Jackson are considering a $210,000 mortgage for 30 years at 5.7%. With this information, their monthly payment would be $1218.84.

If they make only the minimum payment each month, what is the total payback of this loan?

How much of this total payback is interest?

Answer 1

Explanation:

1218.84⋅12⋅30=$438,782.40

The total interest paid is the total payback less the amount borrowed.

$438,782.40−$210,000=$228,782.40

Answer 2

Jade and Jackson

The total payback of this loan = $438,782.72

The interest of this total payback is $228,782.72

Explanation:

a) Data and Calculations:

Mortgage = $210,000

Interest rate of mortgage = 5.7%

Monthly payment = $1,218.84

Using an online calculator for Mortgage Payoff, the Original Payoff Schedule is:

Monthly Pay = $1,218.84

Total Payments = $438,782.72

Total Interest = $228,782.72