Matt has found a condominium in an area where he would enjoy living.

#7 and #8

300 Chapter 10 Purchasing and Financing a Hu deposit using money from her savings account that was paying 3% interest. Her renter's insur- ance costs her $60 per year. What are Teresa's total annual costs of renting? 7 C would avings ost of Condo. Matt has found a condominium ng. He in an area where he would enjoy livi need a $5,000 down payment from his s 00 to and would have to pay closing costs of 2,5 purchase the condo. His monthly mortgage pay- ments would be $520 including property taxes and insurance. The condominium's homeowner's association charges maintenance fees of $400 per year. Calculate the cost of Matt's condo dur- ing the first year if he currently has the $5,000 down payment invested in an account earning 5% interest. 8. Tax Savings. Matt (from problem 7) paid mort- gage interest of $4,330 during his first year in the condo. His property taxes were $600, and his homeowner's insurance was $460. If Matt is ina 25% marginal tax rate bracket, what were his tax savings for his first year? 9. Refinancing. Doug and Lynn bought their home three years ago. They have a mortgage payment of $601 69 Interest rates have recently fallen