Question: Drew is purchasing a home for $452,000. He makes a 20% down payment and obtains a 30-year fixed rate mortgage loan at 6% annual interest.

Drew is purchasing a home for $452,000. He makes a 20% down payment and obtains a 30-year fixed rate mortgage loan at 6% annual interest. His monthly payments are $2,167.98. He pays an intangible tax of 0.2%. Which of the following is the total cost of principal, interest, down payment, and intangible tax?

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!

I need to know which formulas are used and explanations to figure out the answers Real Estate Finance and Investments Chapters Test Bank CHAPTER 9 Income-Producing Properties: Leases, Rents, and the...

Only have questions on 6 and 7 In late 1999, Mr. Cuny moved to Texas. On October 1 of that year, he bought a new house there, paying the asking price of $194,900. He paid (20% of the asking price in...

You have found a home you would like to buy and are trying to determine how you will finance it. You anticipate that you will be in the local area indefinitely; however, it is possible you could be...

29)a) Suppose Cecil Celler wants to sell her house and she has a net price in mind of $300,000. You are her broker and she wants to know what will be the gross selling price at which she will be able...

29) a) Suppose Cecil Celler wants to sell her house and she has a net price in mind of $300,000. You are her broker and she wants to know what will be the gross selling price at which she will be...

please answer all questions, im stuck 7. An investor obtains a balloon mortgage with the terms shown below. Balloon Mortgage $530,000 30/7 balloon 6.8% annual rate What is the monthly payment on this...

Ann wants to buy an office building which costs $1,000,000. She obtains a 30 year fully amortizing fixed rate mortgage with 80% LTV, an annual interest rate of 4%, with monthly compounding and...

Show all steps to getting the answer please! 1. Assume that you were recently discharged from the US Navy after six years of active-duty service and have been hired by a defense contractor who is...

Refer to the information in question 1. Assume that Sam pays two years preferred dividend requirements during the current year. Would this affect your computation of Pars investment income for the...

Find C in the network shown such that the total load has a power factor of 0.92 leading. 34.5 kV rms fiti Balanced thfee-phase source 60 Hz Balanc ed three-phase load 20 MVA 0.707 pf lagging

If auditors conducting attribute sampling found that the client deviated from a prescribed control in 6 of the first 1 0 items examined, the auditor is most likely to: Question 1 Select one: A ....

Free cash flow valuation You are evaluating the potential purchase of a small business with no debt or preferred stock that is currently generating $ 4 2 , 7 0 0 of free cash flow ( F C F 0 = $ 4 2 ,...