Youve decided to buy a house that is valued at $ 1 million. You have $ 2
Fantastic news! We've Found the answer you've been seeking!
Question:
Youve decided to buy a house that is valued at $ million. You have $ to use as a down payment on the house, and want your take out a mortgage for the remainder of the purchase price. Your bank has approved your $ mortgage, and if offering a standard year mortgage at a fixed nominal interest rate APR Under this loan proposal, your mortgage payment will be $ per month.
It is likely that you wont like the prospect of paying more money each month, but if you do take out a year mortgage, you will make far fewer payments and will pay a lot less in interest. How much more total interest will you pay over the life of the loan if you take out a year mortgage instead of a year mortgage?
A $
B $
C $
D $
Related Book For
Fundamentals of Financial Management
ISBN: 978-0324664553
Concise 6th Edition
Authors: Eugene F. Brigham, Joel F. Houston
Posted Date: