John and Rita are house hunting. They have found a place that they intend to purchase, it

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John and Rita are house hunting. They have found a place that they intend to purchase, it requires a mortgage amount of $130,400. Their banker has presented them with two options:

30 year fixed rate mortgage 2.975%

15 year fixed rate mortgage 2.375%

Help them weigh their options. Calculate their monthly payment, the total amount that would be paid over the lifetime of the loan, and the total that would be paid in interest.

Posted Date: May 11, 2024 06:15 AM

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John and Rita are house hunting. They have found a place that they intend to purchase, it

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Expert Answer:

Here are the calculations for each option 30year fixedrate mortgage Monthly payment 54857 using PMT ... View the full answer

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