Question
Say that you purchase a house for $308,000 by getting a mortgage for $270,000 and paying a $38,000 down payment. If you get a 30-year
Say that you purchase a house for $308,000 by getting a mortgage for $270,000 and paying a $38,000 down payment. If you get a 30-year mortgage with a 7 percent interest rate, what are the monthly payments? What would the balance be in ten years?
If the house appreciates at 3 percent per year, what will be the value of the house in ten years?
How much of this value is your equity?
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Quantitative Investment Analysis
Authors: Richard A. DeFusco, Dennis W. McLeavey, Jerald E. Pinto, David E. Runkle
3rd edition
111910422X, 978-1119104544, 1119104548, 978-1119104223
