Homework Help: Math

Posted by Anonymous on Wednesday, December 7, 2011 at 9:47pm.

You wish to purchase a house for $200,000 with 20% down. You will have it financed over 30 years at a rate of 8%. In addition, your yearly real estate tax is $4,800 while your monthly insurance payment on the home will be $30. What is your monthly mortgage payment? How much does your house cost per month including principal, interest, real estate taxes, and insurance?

Math - Reiny, Wednesday, December 7, 2011 at 9:52pm
first find the mortgage payment, without the taxes and insurance.
200000 less 20 down leaves 160000
let the payment be P
i = .08/12 = .00666666...
n = 12(30) = 360

160000 = P( 1- 1.006666667^-360)/.00666667
160000 = P(136.2835045)
p = 1174.02

I will let you finish it.

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