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8. You are applying for a mortgage loan at 4.25% over 30 years with monthly...

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Finance

8. You are applying for a mortgage loan at 4.25% over 30 years with monthly payments. The home you are considering is at a price of $229,000. Lenders are offering 80% loan to value mortgages to you. What will be your monthly mortgage payment for principal and interest?

a. $623.22

b. $653.81

c. $901.23

d. $377.20

9. Same facts as #8, what will be the balance of the loan after you have paid for a full 10 years?

a. $109,877

b. $145,540

c. $111,765

d. $97,027

10. Same facts as #8, how long will it take you to pay off 75% of the loan ?

a. About 25.3 years

b. About 29 years

c. 270 months

d. 24 and years

11. Same facts as #8 above, what was the original balance of the loan?

a. $118,400

b. $143,200

c. Cannot determine given these facts

d. $183,200

12. Same facts as #8, how much interest would you pay during the full life of the loan ?

a. $85,703

b. $141,244

c. $81,158

d. $51,792 13.

13. Same facts as #8 above, what if you paid an extra $75 each month. How long would it take to pay off the loan in full ?

a. 268 months

b. Almost 22 years

c. 309 months

d. About 284 months

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