Question
Answer questions 1 – 3 for a $240,000 home purchase using a conventional fixed rate mortgage from a private lender. Reminder: mortgage payments are monthly
Answer questions 1 – 3 for a $240,000 home purchase using a conventional fixed rate mortgage from a private lender. Reminder: mortgage payments are monthly so use monthly compounding for all mortgage calculations.
1. What is the annuity factor for a 30-year mortgage if the mortgage rate is 4.2%?
2. What is the monthly mortgage payment for a 30-year fixed rate mortgage if the mortgage rate is 4.2% for a loan with a 10% down payment?
3. What is the annuity factor for a 15-year mortgage if the mortgage rate is 3.6%?
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1 Annuity factor formula The present value of annuity factor 1 1 r n r ...
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Income Tax Fundamentals 2013
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
31st Edition
1111972516, 978-1285586618, 1285586611, 978-1285613109, 978-1111972516
