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You want to buy your first house, and you have determined that you can afford a mortgage payment of $800 per month. Mortgage rates are
You want to buy your first house, and you have determined that you can afford a mortgage payment of $800 per month. Mortgage rates are 6 percent annually and banks require at least a 10% down payment. If you want to maximize the amount you borrow, what is the most you can afford to borrow? With that amount of a loan and your 10% down payment, what is the price of the house you can buy?
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