You can afford a $700 per month mortgage payment. You’ve found a 30 year loan at 5% interest.
a. How big of a loan can you afford?
b. How much total money will you pay the loan company? c. How much of that money is interest?

Question

You can afford a $700 per month mortgage payment. You’ve found a 30 year loan at 5% interest.
a. How big of a loan can you afford?
b. How much total money will you pay the loan company? c. How much of that money is interest?

jacob902 · Answer

b

anonymous · Answer

Huh?

dumbcow · Answer

there are different formulas for this here is one example: http://www.financeformulas.net/Formula%20Images/PV%20of%20Annuity%201.gif plug in 700 for P and .05/12 for r

dumbcow · Answer

you can also find mortgage calculators online