Cosmo and Wanda decide to buy a house.
Cosmo due to a fair credit score is offered an interest rate of 4.11%.
They plan to take out a $400,000, 30-year loan to buy a house in Milton.
How much money will Cosmos monthly payment be?
How much money will Cosmo ultimetly pay back on his loan?
Wanda due to an excellent credit score is offered an interest rate of 2.52%.
They plan to take out a $400,000, 30-year loan to buy a house in Milton.
How much money will Wandas monthly payment be?
How much money will Wandas end up paying back on her loan?
How much money will they save by having Wanda take out a loan rather than Cosmo?
Cosmo and Wanda decide to buy a house.
Cosmo due to a fair credit score is offered an interest rate of 4.11%.
They plan to take out a $400,000, 15-year loan to buy a house in Milton.
How much money will Cosmos monthly payment be?
How much money will Cosmo ultimetly pay back on his loan?
How much will he save by taking a 15 year loan rather than a 30 year loan? (HINT use your answer from #2)
Wanda due to an excellent credit score is offered an interest rate of 2.52%.
They plan to take out a $400,000, 15-year loan to buy a house in Milton.
How much money will Wandas monthly payment be?
How much money will Wanda ultimetly pay back on this 15 year loan?
How much will she save by taking a 15 year loan rather than a 30 year loan? (HINT use your answer from #4)
Why might someone want to take out a 30 year loan rather than a 15 year loan? Use vocabulary such as monthly payment in your answer