Determine the regular payment amount, rounded to the nearest dollar.

Question

The price of a home is $160,000. the bank requires a 15% down payment. The buyer is offered two mortgage options: 1 year fixed at 8% or 30-year fixed at 8%. Calculate the amount of interest paid for each option. how much does the buyer save in interest with the 15-year option?

Answer 1

down payment: .15*160,000
fixed at 8percent, one year see calculator
fixed 30 year, at 8 percent see calculator.

http://www.bankrate.com/calculators/mortgages/loan-calculator.aspx