Question

can someone please check my work on mortgage?

Answer 1

Okay.

Answer 2

Link??

Answer 3

@jim_thompson5910

Answer 4

@karatechopper
@mathmate
@misssunshinexxoxo

Answer 5

first two look good so far

Answer 6

question 3 is incorrect

Answer 7

how would i solve that one

Answer 8

what is 1.5% of that mortgage?

Answer 9

multiply?

Answer 10

yeah 0.015 with the mortgage amount

Answer 11

1.5% =0.015

Answer 12

of what?

Answer 13

the $197,000 mortgage

Answer 14

which is 295000

Answer 15

2955

Answer 16

add that onto 2000

Answer 17

since it says "A mortgage broker charges $2000 plus 1.5% of the mortgage amount"

Answer 18

4955

Answer 19

right @jim_thompson5910

Answer 20

yes

Answer 21

anything else that was wrong @jim_thompson5910

Answer 22

there are some here you didn't answer

Answer 23

which ones

Answer 24

like "A mortgage is in the amount of $600,000. The origination fee is 0.5%, the intangible tax is 0.2%, and there are 1.5 discount points"

Answer 25

and "Sherri attempts to determine the total cost of a $500,000 ARM which starts at 6% by predicting the monthly payments. Her predictions are shown in the table"

Answer 26

is that it or is there more

Answer 27

there are more

basically where you didn't highlight the answer in yellow

Answer 28

I'll be right back

Answer 29

yeah that is my answer the ones i highlighted @jim_thompson5910

Answer 30

are you still checking it @jim_thompson5910

Answer 31

yes no maybe? @jim_thompson5910

Answer 32

yes I'm still checking

Answer 33

the one with "What is the amount of the balloon payment rounded to the nearest dollar?" is incorrect

where you picked $192,063

Answer 34

ok how can i fix that

Answer 35

go here

http://www.bankrate.com/calculators/mortgages/mortgage-calculator.aspx

Answer 36

type in the given mortgage amount (200,000)
interest rate (7%)
time (15 years)

then scroll to June 2019

Answer 37

look in the last column

Answer 38

165,163.53?

Answer 39

which rounds to 165,164

Answer 40

anything else that is wrong?

Answer 41

@jim_thompson5910

Answer 42

"Julie is buying a house for $225,000. She obtains a mortgage in the amount of $156,000 at a 4.5% fixed rate. The bank offers a 4.25% interest rate if Julie pays 2.25 points. What is the cost of points for this mortgage rounded to the nearest dollar?"

that one is wrong as well

Answer 43

take 1% of the mortgage, then multiply by 2.25

Answer 44

1% of 156,000

Answer 45

yeah

Answer 46

3510

Answer 47

any more?

Answer 48

what about the hank and caesar one?

Answer 49

I'm looking at the ones you answered. I'm onto the last one

Answer 50

i answered both hank and caesar?

Answer 51

?????

Answer 52

you didn't mark the answer

Answer 53

some of the questions weren't marked

Answer 54

can you tell me the ones i didn't mark @jim_thompson5910

Answer 55

the question "What is the break-even point for the loans?" has the correct answer that you marked (10 years)

Answer 56

the other stuff is unmarked, so I'll let you do that part.

Answer 57

which questions tell me the beginning of the question

Answer 58

it's in the doc file. There are a lot that weren't marked

Answer 59

what do you mean without the highlighter?

Answer 60

yeah

Answer 61

there are no yellow highlights

Answer 62

let me highlight them then

Answer 63

i fixed it @jim_thompson5910

Answer 64

ok let me check

Answer 65

this one is incorrect

`A mortgage is in the amount of $600,000. The origination fee is 0.5%, the intangible tax is 0.2%, and there are 1.5 discount points. `

`Which of the following is the total cost of the origination fee, the intangible tax, and the discount points?`

Answer 66

ok how can i fix it

Answer 67

take 0.5% of the mortgage to get x
take 0.2% of the mortgage to get y
take 1% of the mortgage, multiply it by 1.5 to get z

add
x+y+z

Answer 68

i got 10200

Answer 69

wait wait

Answer 70

its 13200

Answer 71

right?

Answer 72

yep

Answer 73

`Sherri attempts to determine the total cost of a $500,000 ARM which starts at 6% by predicting the monthly payments. Her predictions are shown in the table. `

is incorrect

Answer 74

I'm not sure how you got that

Answer 75

how would i fix it

Answer 76

$2997.75 per month for 5 years
$2858.27 per month for 15 years
$3093.85 per month for 10 years

add up all that

Answer 77

multiply each one right?

Answer 78

yeah and keep in mind 12 months = 1 year

Answer 79

so multiply the years by 12?

Answer 80

and then add the price

Answer 81

@jim_thompson5910

Answer 82

yes to convert to months

Answer 83

so then for example i multiply 60 * 2997.75 or add the two

Answer 84

yeah do that for the three lines, then add the results

Answer 85

so i multiply them

Answer 86

then add, yes

Answer 87

i got it. anything else that is wrong?

Answer 88

what answer did you get

Answer 89

1065615.6

Answer 90

good

Answer 91

`Jackie obtains a 30-year 4/2 ARM at 5% with a 4/7 cap structure in the amount of $313,500. What is the monthly payment during the initial period?`

is wrong

Answer 92

Use the formula

\[\Large M = \frac{L*i}{1-(1+i)^{-n}}\]

L = 313,500
i = 0.05/12 = 0.00416666666667
n = 30*12 = 360

Answer 93

-n?

Answer 94

yeah the exponent is -n