Calculate the equal monthly payments and the accumulated interest on a mortgage. The cash value of the house today is $500,000. You are paying monthly at a fixed rate of 7% per year compounded monthly. You are required to downpay 15% of the house value at the beginning. At the end of this mortgage you plan to pay off the house completely. The first monthly payment is one month after the start of the mortgage. The mortgage ends 20 years after you bought the house.

Question

anonymous · Answer

We need to know the balance at the end of the mortage to solve.