Question

question 8
1 pts

what if you were to instead buy a cheaper house, say for $300,000 (instead of $400,000), the difference in payment would be about $700 per month.

assume a loan of $300,000 at 7% for 30 years with an extra $700 per month, how many months will you pay on the house?

Explanation:

Calculate the standard monthly payment

Using the Amortization Formula knowledge point

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Determine the accelerated monthly payment

Using the Amortization Formula knowledge point

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Solve for the accelerated number of months

Using the Amortization Formula knowledge point

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Answer:

Assume a loan of $300,000 at 7% for 30 years with an extra $700 per month, how many months will you pay on the house? <blank>180</blank>