Answer:
Step-by-step explanation:
Jason's down payment= $41250
Amount he needs to borrow is
275000-41250 = $233750
Jason's monthly payment would be
248476.25/180 = $1380.42
The original cost of the house that Jason Aldeen bought is $275,000. He made a down payment of 15%. This means he paid 15% of the original cost of the house. Therefore,
Jason's down payment is 15% of $275000
= 15/100 × 275000 =0.15×275000
=$41250
Since Jason's down payment is smaller than the original cost of the house, he would need to borrow.
Amount he needs to borrow is
275000-41250 = $233750
If Jason borrows $233750 at a rate of 4.2% for 15 years
Total interest on $233750 for 15 years will be
= (233750×4.2×15) /100
= 14726250/100 = $14726.25
Total amount to be paid for 15 years will be amount borrowed + interest
=233750 + 14726.25 = $248476.25
Converting 15 years to months,
15 × 12 months = 180 months.
Jason's monthly payment would be
248476.25/180 = $1380.42
