Rachel and John bought their house at the end of June 2005, making their first mortgage payment
Question:
Rachel and John bought their house at the end of June 2005, making their first mortgage payment on July 15, 2005. The house cost $250,000 and they put 20% down. The interest rate has always been 5.7%. They
renewed for a 5-year term in June 2020. The mortgage has been amortized over 25 years and they make semi- monthly, end-of-period mortgage payments. The couple hopes to pay off their mortgage in full before they
retire. They have joint creditor life insurance on their mortgage, which is $552 per year.
Are there any obvious places in their cash flows where they are spending too much and should consider cutting back in order to meet their retirement objectives? viii. When is their mortgage paid off? make an amortization table (Answer: June 30, 2030)
International Marketing And Export Management
ISBN: 9781292016924
8th Edition
Authors: Gerald Albaum , Alexander Josiassen , Edwin Duerr