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Allushta [10]
3 years ago
5

A family wants to purchase a house that costs ​$ 165 comma 000 165,000. They plan to take out a ​$ 125 comma 000 125,000 mortgag

e on the house and put ​$ 40 comma 000 40,000 as a down payment. The bank informs them that with a​ 15-year mortgage their monthly payment would be ​$ 742.97 742.97 and with a​ 30-year mortgage their monthly payment would be ​$ 511.08 511.08. Determine the amount they would save on the cost of the house if they selected the​ 15-year mortgage rather than the​ 30-year mortgage. How much would they save if they selected the​ 15-year mortgage?
Mathematics
1 answer:
miv72 [106K]3 years ago
8 0

With a 15 year or 180 month mortgage they will pay out $133,680.60 compared to the 30 year or 360 month mortgage they will pay out $183,988.80 which is $50,308.2 more. So they would save $50,308.2 if they select the 15 year mortgage.

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