You want to purchase a new condominium which costs $329,000. Your plan is to pay 20 percent down in cash and finance the balance over 25 years at 6.25 percent. What will be your monthly mortgage payment?

To calculate the monthly mortgage payment, we need to determine the loan amount and use an amortization formula.

First, calculate the down payment amount:
Down payment = Purchase price x Down payment percentage
Down payment = $329,000 x 0.20
Down payment = $65,800

Next, calculate the loan amount:
Loan amount = Purchase price - Down payment
Loan amount = $329,000 - $65,800
Loan amount = $263,200

Now, we can use the loan amount to calculate the monthly mortgage payment using the following formula:

M = P[r(1+r)^n]/[(1+r)^n-1]

Where:
M = Monthly mortgage payment,
P = Loan amount,
r = Monthly interest rate,
n = Number of payments (in this case, 25 years = 300 payments).

Convert the annual interest rate to a monthly rate:
Monthly interest rate = Annual interest rate / 12
Monthly interest rate = 6.25% / 100 / 12
Monthly interest rate = 0.0625 / 12
Monthly interest rate = 0.0052083

Plug in the values into the formula:
M = $263,200[(0.0052083(1+0.0052083)^300]/[(1+0.0052083)^300-1]

Calculating this formula will give you the monthly mortgage payment.

To calculate your monthly mortgage payment, you'll need the loan amount, the interest rate, and the loan term.

First, let's calculate the loan amount. You plan to pay 20 percent down in cash, so the down payment will be 20 percent of $329,000:

Down Payment = 20% * $329,000
Down Payment = $65,800

Therefore, the loan amount will be the remaining balance after the down payment:

Loan Amount = $329,000 - $65,800
Loan Amount = $263,200

Next, let's convert the interest rate to a monthly interest rate. The annual interest rate is 6.25 percent, so the monthly interest rate can be calculated by dividing it by 12:

Monthly Interest Rate = 6.25% / 12
Monthly Interest Rate = 0.0625 / 12
Monthly Interest Rate = 0.00520833

Finally, let's calculate the monthly mortgage payment using the loan amount, interest rate, and loan term. The loan term is 25 years, which is equal to 300 months:

Monthly Mortgage Payment = (Loan Amount * Monthly Interest Rate) / (1 - (1 + Monthly Interest Rate)^(-Loan Term))
Monthly Mortgage Payment = ($263,200 * 0.00520833) / (1 - (1 + 0.00520833)^(-300))

Using a financial calculator or spreadsheet software, you can calculate the monthly mortgage payment to be approximately $1,607.58.

you will finance 80% of 329000 = 263200

just plug that into your amortization formula.