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vampirchik [111]
3 years ago
13

Felicia decided to purchase 2 points in order to lower her interest rate on her $149,000 mortgage. How much additional money doe

s she need to bring to closing
Mathematics
1 answer:
scZoUnD [109]3 years ago
4 0

Answer:

$2,980

Step-by-step explanation:

Mortgage points is a term used by a mortgage brokers and it is usually referred to the percentage of the loan amount.

From the given question:

Felicia decided to purchase 2 points in order to lower her interest rate on her $149,000 mortgage

the 2 points that Felicia purchased is equivalent to 2% i.e 0.02 points

Thus; the additional money  she need to bring to closing is calculated by the formula:

cost = points × loan amount

= 0.02 × $149,000

= $2,980

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