18 6. A buyer is interested in a house that sells for $227,000. The bank offers a down payment of 5% if the buyer purchases PMI for $2,750, which will be added to the amount of the loan. The interest rate is fixed at 4.5% for 20 years. Instead of accepting the mortgage, the buyer decides it would be cheaper to rent while saving up the cash to pay for the house. The buyer determines that it would take 7 years to save up the total amount needed to pay cash. Rent would be $930 a month. How much would be saved by paying cash for the house