What will be the amount of interest paid in the first month if you put 30 percent down on a home costing $150,000 with a 25-year, 9% loan?

Name: What will be the amount of interest paid in the first month if you put 30 percent down on a home costing $150,000 with a 25-year, 9% loan?
Brand: Quizplus
Rating: 4.8 (51 reviews)

Question

Quizplus · Accepted Answer

The loan amount is $105,000 (70% of $150,000). The monthly interest rate is 0.75% (9% annual rate divided by 12 months). The interest for the first month is $787.50 (0.75% of $105,000).

What Will Be the Amount of Interest Paid in the First