mackenzie is financing $135,700 to purchase a house. How much money will she save over the life of a 25-yr, fixed rate loan by buying 4 points with a rate of 6.03% instead of not buying points with the rate of 6.78%? round to the nearest dollar.

Question

anonymous · Answer

@e.mccormick

e.mccormick · Answer

Same formula set as last time, where you find the monthy then multiply it out.  However, you do it twice and compare the different interest rates.

anonymous · Answer

k

e.mccormick · Answer

To be honest, you could find monthy 1, then monthy 2, subtract 2 form 1, then multiply it out.  Either way, you want the total difference.  Hope that is not confusing the way I said it.

anonymous · Answer

it isnt.. thanks

e.mccormick · Answer

Welp, I am off to bed.  Have fun!