3. Comparing Mortgages

Last updated over 1 year ago
15 questions
1

It is common to put down 10% of a homes as a down payment for a home. If a person is to purchase a home for $400,000, how much should they save up for the down payment?

1

A realtor typically makes 2.5% of each home sales purchase. How much does a realator make if he helps his client purchase a $450,000 home?

1

What is a mortgage?

1

What is a fixed year mortgage?

1

What is NOT a common length of mortgage?

1

Suppose you are planning to buy a house and will need to take out a $350,000 mortgage with a 4% interest rate. You are debating between a 20 year mortgage and a 30 year mortgage.
How much will your monthly payment be with a 20 year mortgage?

1

Suppose you are planning to buy a house and will need to take out a $350,000 mortgage with a 4% interest rate. You are debating between a 20 year mortgage and a 30 year mortgage.
How much interest will you pay with a 20 year loan?

1

Suppose you are planning to buy a house and will need to take out a $350,000 mortgage with a 4% interest rate. You are debating between a 20 year mortgage and a 30 year mortgage.
How much will your monthly payment be with a 30 year loan?

1

Suppose you are planning to buy a house and will need to take out a $350,000 mortgage with a 4% interest rate. You are debating between a 20 year mortgage and a 30 year mortgage.
How much interest will you pay with a 30 year loan?

1

Why might someone be interted in taking a 20 year mortgage rather than a 30 year mortgage?

1

What is the benefit to taking a 30 year mortgage rather than a 20 year mortgage?

The interest rate greatly affects how much interest you ultimetly pay on a loan!!!!!!
1

Suppose your parents bought a home in 2015, and took out a $250,000, 15 year mortgage at an interest rate of 5.05%. How much will the monthly payment be?

1

How much money will they pay in interest?

1

Suppose your parents waited and bought a home in 2020, and took out a $250,000, 15 year mortgage at an interest rate of 3.05%. How much will the monthly payment be?

1

Suppose your parents waited and bought a home in 2020, and took out a $250,000, 15 year mortgage at an interest rate of 3.05%. How much will they pay in interest?