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You want to buy a house. You have $50,000 saved for the down payment and can pay $2,000 per month on the mortgage. The 30-year

You want to buy a house. You have $50,000 saved for the down payment and can pay $2,000 per month on the mortgage. The 30-year mortgage interest rate is 9% per year (equal to 0.75% per month). What is the most expensive house that you can afford?

We were given this formula, but I don't get how the answer is $248,563.

image text in transcribed

2000 0.75 (1 1 (0.75+1)30-12

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