Mortgages and Home Ownership Assignment

According to the amortization table, Demarco and Tanya will pay a total of in interest over the life of their loan. This means their total cost, including the $170,000 purchase price, is approximately .

$104,854 - $274,854

By the end of year 8, Demarco and Tanya would have to pay a final payout of $120,887. $130,900. $143,152. $154,768.

$143,152

According to the chart, Demarco and Tanya will pay a total of in interest over the life of their loan. This means their total cost, including the purchase price, is approximately . This amount is than what they would pay in total using the fixed-rate mortgage.

$195,104 - $365,104 - higher

According to the calculator, the initial monthly payment Demarco and Tanya should anticipate paying on principal and interest is . This amount is than the fixed-rate mortgage payment for principal and interest. The total amount they should anticipate paying monthly is .

$611 - lower - $819

According to the calculator, the monthly payment Demarco and Tanya should anticipate paying for principal and interest is $208. $877. $669. $1,200.

$669

According to the chart, the initial monthly payment Demarco and Tanya should anticipate paying on principal and interest is . They should budget $400 for insurance and tax payments, so the total amount they should anticipate paying monthly is .

$811 - $1,211

According to the chart, by year 5, the combined payment for principal and interest will increase to approximately . By year 15, the combined payment will increase to approximately . Recall that taxes and mortgages add about $400 to the payment for principal and interest. If Demarco and Tanya's income stays the same, by year 10, their total payment will be 25% of their gross monthly income.

$836 - 961 - over

The total monthly payment Demarco and Tanya should anticipate is $1,700. $669. $877. $1,200.

$877

According to the calculator, by year 10, the majority of Demarco and Tanya's payment will go toward the . By year 20, the majority of Demarco and Tanya's payment will go toward the . Over time, the amount paid toward the principal will .

interest - principle - increase