Giselle wants to buy a condo that has a purchase price of $163,000. giselle earns $2,986 a month and wants to spend no more than

Question

2 years ago

12

Giselle wants to buy a condo that has a purchase price of $163,000. giselle earns $2,986 a month and wants to spend no more than

25% of her income on her mortgage payment. she has saved up $33,000 for a down payment. giselle is considering the following loan option: 20% down, 30 year at a fixed rate of 6.25%. what modification can be made to this loan to make it a viable option, given giselle’s situation?

Mathematics

2 answers:

artcher [175] · Answer 1 · 2023-03-16T14:03:05+03:00

artcher [175]2 years ago

8 0

Answer:

option b

Step-by-step explanation:

Alborosie · Answer 2 · 2023-03-16T12:11:33+03:00

The condo costs $163,000, earns $2,986 per month, spends no more than 25% of her income, then if she pays $33,000 for the down payment, the remaining amount would be $130,000. Since 20% of the initial cost is only $32,600, she can adjust her down payment to 20.25% of the initial cost so that the annual payments would be less.