Mortgage Amount Calculations

Posted: August 26th, 2021

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Mortgage Amount Calculations

Question 22: A house sells for 150,000, and a 10% down payment is made. A mortgage was secured at 5.8% for 20 years. If the down payment is 15,000, calculate the amount of mortgage.

Principal amount=150,000

Down payment= 10% x 150,000 = 15,000

Mortgage interest rate= 5.8%

Period= 20 years

Loan amount= 150,000-15,000= 135,000     

Where: P= Principal amount

            r= Annual interest rate

            t= Period

            n= number of compounding=1

Question 23: A house sells for 150,000, and a 15% down payment is made. A mortgage was secured at 3.8% for 25 years. If the down payment is 22, 500, what is the amount of mortgage?

Principal amount= 150,000

Down payment= 15% x 150000= 22,500

Mortgage interest rate =3.8%

Period= 25 years

Loan amount= 150,000- 22,500=127,500

Where: P= Principal amount

            r= Annual interest rate

            t= Period

            n= number of compounding=1

Question 24: a building sells for 200,000, and a 30% down payment is made. A mortgage was secured at 4% for 20 years. If the down payment is 60,000, what is the amount of mortgage?

Principal amount= 200,000

Down payment= 30% x 200,000= 60,000

Mortgage interest rate= 4%

Period= 20 years

Loan amount= 200,000-60,000=140,000

Where: P= Principal amount

            r= Annual interest rate

            t= Period and n= number of compounding=1

Question 25: A beauty shop sells for 115,000, and a 23% down payment is made. A 10-year mortgage at 7.5% is obtained, and closing costs are 8,700. Given that the down payment is 26,450.0, what is the amount of mortgage?

Principal amount= 115,000

Down payment= 23% x 115,000= 26,450

Interest rate= 7.5%

Period= 10 years

Closing costs = 8700

Loan amount= 115,000 + 8,700=123,700

Where: P= Principal amount

            r= Annual interest rate

            t= Period

            n= number of compounding=1