A monthly payment of $850 on a 30-year $80,000 mortgage results in a total cost of interest of $226,000.

Question

Quizplus · Accepted Answer

The total cost of interest is the difference between the total amount paid and the principal amount borrowed. In this case, the total amount paid is $850 x 12 x 30 = $306,000, and the principal amount borrowed is $80,000. Therefore, the total cost of interest is $306,000 - $80,000 = $226,000.

A Monthly Payment of $850 on a 30-Year $80,000 Mortgage