Question

You have saved 18000 for a down payment on a house. Your bank requires a minimum down payment of 11%. What is the maximum price you can offer for a home in order to have enough money for the down payment

Answer 1

Money saved for down payment = 18000

Minimum down payment required by the bank = 11%

Let the maximum price that can be offered be = P

$\frac{11}{100}P=18000$

$11P=1800000$

P=163636.36

Hence a maximum price of 163636.36 can be offered for a home that can have a down payment of 18000.