Math Models Unit 7 Lesson 5

3. Shawn and his wife are purchasing a home. The cost of the home is $187,500. They will be required to pay a down payment of 5% of the purchase price and to pay closing costs of 7% of the purchase price. How much cash will they need for the down payment and closing costs?

$22,500

5. Todd and his wife are purchasing a home. The cost of the home is $153,750. They will be required to pay a down payment of 15% of the purchase price and to pay closing costs of 3% of the purchase price. How much cash will they need for the down payment and closing costs?

$27,675

6. What are the annual property taxes on a home that costs $153,750 if the local property tax rate is 2.78%?

$4,274.25

4. What are the annual property taxes on a home that costs $187,500 if the local property tax rate is 2.34%?

$4,387.50

8. What are the annual property taxes on a home that costs $235,500 if the local property tax rate is 1.89%?

$4,450.95

7. Diane and her husband are purchasing a home. The cost of the home is $235,500. They will be required to pay a down payment of 20% of the purchase price and to pay closing costs of 6% of the purchase price. How much cash will they need for the down payment and closing costs?

$61,230

2. Choose the correct definition. points :

a percentage of the total principal of a loan, paid up front to the lender

1. Choose the correct definition. escrow :

money or property granted to someone, but held by a third party until specific conditions have been fulfilled