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nadezda [96]
3 years ago
11

A house in under contract of 260,000, an appraised for 240,000. The buyer will get an 80% to value and the lender will changer 1

.5 points. How much money does the buyer need to complete the sell?
Law
1 answer:
Anettt [7]3 years ago
4 0

Answer: $70,880

Explanation:

The lender will loan out 80% of the value of the house:

= 240,000 * 80%

= $192,000

They will charge a loan origination fee of 1.5% so the net loan is:

= 192,000 * (1 - 1.5%)

= $189,120

The buyer needs $260,000 to complete the sale so the amount needed is:

= 260,000 - 189,120

= $70,880

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